The overnight rate contracted by 242 bps to 17.75% driven by the inflow of N85.42 billion from maturing OMO bills.
In a bid to reduce the impact on liquidity, the Central Bank of Nigeria, CBN, offered OMO bills worth N110 billion while N130.1 billion was allotted – comprising of N3.56 billion of the 189-day and N134.53 billion of the 364-day bills at respective stop rates of 17.5% and 18.55%.
The treasury bills market resumed on a bullish note after the three-day suspension by the FMDQ, with average yields contracting by 23 bps to 17.30%.
Bills on the short (-59 bps), mid (-12 bps) and long (-3 bps) contracted to 15.26%, 18.19% and 18.28%, respectively, owing to demand for 28-SEPT-2017, 1-FEB-2018 and 14-JUNE-2018 bills, respectively.
Activities in the bonds space was mixed with average yields expanding by less than 1bp to 16.34%, InvestAdvocate reports.
Bond on the short (+1 bp) contracted to 16.79% owing to demand for 29-JUNE-2019, while snippets of sell-offs ensued at the mid and long ends of the curve with average yield expanding by less than 1bp to 16.43% and 16.24% respectively.
