Parallel market: Naira trades flat at N510/$

By Kayode Tokede

The Naira traded flat at N510.00 at parallel market and also at N411.50 against the dDollar at the Investors & Exporters Foreign Exchange window on Tuesday.

However, the overnight lending rate contracted by 25basis points to 13.5per cent, following inflows from OMO maturities (N80.00 billion).

The NTB secondary market closed with bullish sentiments, as the average yield pared by 1bp to 5.6 per cent.

Across the benchmark curve, average yield contracted at the mid (-4basis points) and long (-1 basis point) segments following market participants’ demand for the 107DTM (-5 basis points) and 212DTM (-3 basis points) bills, respectively.

However, average yield was flat at the short end. Similarly, the average yield at the OMO segment contracted by 4basis points to 7.6per cent.

Trading in the Treasury bond secondary market was mixed, albeit with a bullish tilt, as the average yield contracted by 6 basis points to 11.8 per cent.

Across the benchmark curve, average yield contracted at the mid (-1 basis point) and long (-15 basis points) segments following demand for the JUL-2030 (-5 basis points) and JUL-2045 (-48 basis points) bonds, respectively.

Conversely, average yield expanded at the short end (+2 basis points) due to sell-off of the APR-2023 (+20 basis points) bond.