WED JULY 16 2025-theGBJournal| The Nigerian naira tumbled on Wednesday after closing 0.2% to N1,528/US$1 on Monday before the declared National holiday following the death of former President Muhammadu Buhari.
The Nigerian Autonomous Foreign Exchange Market (NAFEM) reference rate fell marginally to close 0.3% down to N1,532.00/USD.
Traders however expect the market rate to hover around N1,500/$US and N1,600/$US given the central bank a consistent injection into the foreign exchange market.
At the fixed income market, the Treasury bill secondary market were quiet, as the average yield remained unchanged at 18.4%.
Across the curve, the average yield contracted at the short (-2bps) and mid (-2bps) segments, driven by the demand for the 85DTM (-2bps) and 176DTM (-2bps) bills, respectively, but expanded at the long (+1bp) end, due to sell pressures on the 323DTM (+85bps) bill.
Meanwhile, the average yield contracted by 4bps to 24.6% in the OMO segment.
The FGN bond secondary market traded on a bullish note, as the average yield contracted by 15bps to 16.5%. Across the benchmark curve, the average yield contracted at the short (-23bps), mid (-22bps) and long (-7bps) segments, driven by the demand for the FEB-2038 (-89bps), APR-2032 (-45bps) and JAN-2042 (-46bps) bonds, respectively.
The overnight lending rate contracted by 9bps to 32.6%, in the absence of any significant inflows into the system.
X-@theGBJournal|Facebook-the Government and Business Journal|email:gbj@govbusinessjournal.com|govandbusinessj@gmail.com
