SAT, NOV 11 2023-theGBJournal|Amid tight interbank liquidity conditions in the money market, the Treasury Bills market adopted a cautious approach at the beginning of the week.
This cautious outlook was further intensified by the NTB auction conducted on Wednesday, where the DMO offered N310.12 billion across 91-day, 182-day, and 364-day maturities, ultimately allotting N497.20 billion, surpassing the total subscription of N875.79 billion.
The auction’s stop rates settled at 7.00%, 11.00%, and 16.75% marking a departure from the previous rates of 5.90%, 9.00%, and 13.00%.
Following this auction, investor interest predominantly gravitated towards the recently issued 1-year Treasury bill (7-Nov-24), resulting in most transactions closing in the 15.40% range by the week’s end, while other longer-dated securities were being bid around the similar range.
Consequently, the average benchmark yield experienced a decrease of 85 bps throughout the week, culminating at 13.33%.
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