The money market rates, at the close of last week, posted a moderate jump, soaring to a seven-month high at the close of business.
This came on the heels of the intervention by the Central Bank of Nigeria, CBN, in the foreign exchange market via a retail SMIS.
As such, system liquidity significantly slumped lower into an estimated net negative position of nearly N100 billion.
Specifically, the Open Buy Back (OBB) rate added 65 percent from 16.67 percent, while the overnight rate went up to 73.42 percent from 18.88 percent in the previous session.
Analysts at Zedcrest Research expect the rates to remain elevated this week in anticipation of the apex bank intervention in the Wholesale forex SMIS segment on Monday, May 14.
Meanwhile, the average treasury bills yields slightly surged last week Friday by 0.75 percent as a result of a significant squeeze in system liquidity influenced by the announcement of a Retail SMIS by the CBN.
