Naira depreciates by 1.24% at I & E FX window to N409.67/$

By Kayode Tokede

The naira weakened by 1.24 per cent to N409.67 against the dollar at the Investors & Exporters Foreign Market (I&E) window on Monday.

The local currency was traded flat at N473.00 against the dollar in the parallel market.

According to FMDQ, total turnover of $ 28.21million was traded by investors and exporters on Monday.

At the interbank market of the Central Bank of Nigeria (CBN) naira traded flat at N379 against the dollar.

The overnight lending rate declined by 50basis points to 4.3per cent, in the absence of any significant outflows from the system.

The NTB secondary market was bearish, as average yield expanded by two basis points to 1.5 per cent. Across the curve, average yield was flat at the short end, but expanded at the mid (+4 basis points) and long (+1 basis point) segments due to sell-offs of the 150DTM (+13 basis points) and 332DTM (+3 basis points) instruments, respectively.

Elsewhere, average yield at the OMO segment declined by 23bps to 6.5 per cent.

The Treasury bonds secondary market was bearish, as average yield expanded by 5bps to 8.9 per cent.

Across the curve, average yield pared at the short (-2 basis points) end following demand for the JUL-2021 (-11 basis points) bond, but expanded at the mid (+16 basis points) and long (+5 basis points) segments, as investors took profits off the FEB-2028 (+60 basis points) and JUL-2034 (+15 basis points) bonds, respectively.