TUE 05 OCT, 2021-theGBJournal- The Treasury bond secondary market turned bearish, as the average yield expanded slightly by 3bps to 11.1%. Across the benchmark curve, the average yield contracted at the short (-8bps) end as investors bought up the JAN-2022 (-48bps) bond but expanded at the mid (+4bps) and long (+13bps) segments following selloffs of the JUL-2030 (+8bps) and JUL-2034 (+23bps) bonds, respectively.
At the money market, the overnight lending rate contracted by 192bps to 6.8% in the absence of any significant funding pressures on the system.
Trading in the NTB secondary market was bullish, as the average yield contracted by 18bps to 5.1%. Across the benchmark curve, average yield contracted at the short (-79bps) end due to demand for the 9DTM (-89bps) bill but expanded at the long (+4bps) end as investors sold off the 296DTM (+22bps) bill; the mid-segment closed flat. Elsewhere, the average yield at the OMO segment was flat at 6.3%.
Meanwhile, the naira depreciated by 0.2% to NGN414.30/USD at the I&E window.
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