…The OVN rate increased by 13bps to 22.3%, despite strong inflows from OMO maturities (N1.69 trillion) outweighing minimal debits from the OMO PMA (N81.00 billion)
SAT MAR 14 2026-theGBJournal| Treasury bills yields edged higher in the secondary market by close of trade Friday, as investors repositioned ahead of the upcoming Nigerian Treasury Bills (NTB) Primary Market Auction (PMA).
The cautious sentiment reflected expectations of possible rate adjustments at the auction, prompting market participants to demand slightly higher yields.
Average yields advanced by 20bps to 17.7%, while OMO yields declined by 7bps to 21.0%, reflecting mild demand in the secondary market amid the absence of long-tenured OMO issuances.
Across all instruments, the average yield increased by 1bp to 19.3%.
At Wednesday’s NTB PMA, the Debt Management Office (DMO) offered N850.00 billion in bills, with total demand reaching N2.78 trillion.
Ultimately, N933.92 billion was allotted across all tenors, with stop rates on the 91‑Day and 182‑Day bills unchanged at 15.95% and 16.65%, respectively, while the 364‑Day bill declined marginally by 1bp to 16.72%.
Separately, the Central Bank of Nigeria (CBN) conducted an OMO auction, offering N600.00 billion across the 8‑Day, 99‑Day, and 113‑Day tenors.
Total demand printed at N767.00 billion, with the CBN allotting N81.00 billion across the 99- and 113-Day maturities at respective stop rates of 19.35% and 19.69%.
Meanwhile, the Federal Government bond market closed on a bearish note, with yields advancing marginally by 1 basis point to 15.8%.
The modest rise indicates light selling pressure as traders recalibrated positions amid evolving market expectations for liquidity and interest rate direction.
Across the curve, the average yield decreased in the mid (-13bps) segment, driven by demand for the JUL-2034 (-26bps) bond, while it advanced at the long (+4bps) end amid sell pressures in the JUN-2053 (+30bps) bond. The average yield closed flat at the short end.
Similarly, the OVN rate increased by 13bps to 22.3%, despite strong inflows from OMO maturities (N1.69 trillion) outweighing minimal debits from the OMO PMA (N81.00 billion) and net NTB allotments (N83.92 billion).
That said, system liquidity improved, with the average net long position printing N6.52 trillion, compared with N5.40 trillion in the prior week.
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