Daily Financial Markets Update

Commentary

System liquidity opened in surplus at ₦6.17trn as at the last released data (April 7th). The Overnight (O/N) rate declined by 6bps to close at 22.31%, while Open Buy-Back (OBB) rate was unchanged, holding steady at 22.00%.

Commentary

The T-bills market traded on a bullish note today, as participants positioned ahead of the NTB auction where the DMO is offering ₦700bn. Demand filtered into the mid-to-long end of the curve, with the 25-Mar-2027 bill leading gains, declining by 32bps to 15.93%, while the 4-Feb-2027 bill also tightened by 18bps to 16.11%. The 25-Jun-2026 bill remained unchanged. The average benchmark rate declined by 2bps, closing at 16.09%.

Commentary

The FGN bond market traded on a mildly bearish note, with selling pressure concentrated at the short end of the curve. The 20-Mar-2027 bond recorded a notable move, rising by 161bps to 17.97%, while yields across most other benchmark maturities closed unchanged. The average benchmark yield rose by 11bp, closing at 15.92%.

Commentary

The Sub-Saharan Africa (SSA) Eurobond market traded firmer during the session, buoyed by the recently announced two-week ceasefire between the U.S. and Iran. The pause helped ease geopolitical risk sentiment, reinforcing investor confidence and providing a supportive backdrop for SSA sovereign debt. Consequently, Nigeria's yields compressed by 22bps to 7.32%, Angola followed, declining 16bps to 8.69%, while Egypt saw the sharpest adjustment, tightening by 57bps to close at 7.59%.

Commentary

The local bourse closed the day on a positive note, as the NGX All-Share Index (ASI) gained 0.28% to settle at 202,585.5 points, while YTD return moderated to 30.19%. Sectoral performance closed on a broadly positive note, reflecting selective buying interest across key indices. The Banking sector led the gainers, advancing by 1.79%, driven by strong buying interest in Zenith Bank, which appreciated by 5.83%. Similarly, the Oil and Gas sector posted a solid gain of 2.11%, supported by upward momentum in Seplat, which rose by 4.95%. On the downside, the Consumer Goods sector declined by 1.07%, pressured by sell-offs in International Breweries, which fell by 8.09%. The Industrial Goods sector also edged lower by 0.19%, weighed down by losses in Cutix, which declined by 4.62%. Likewise, the Insurance sector recorded a mild decline of 0.36%, following profit-taking in Regal Insurance, which dropped by 5.77%. Market breadth stood at 0.71x with 22 gainers and 31 losers. Market capitalization improved slightly to ₦130.404 trillion from ₦129.997 trillion. Trading activity closed the day mixed, with turnover value increasing to ₦40.57 billion from ₦37.325 billion while volume traded declined to 1,007 million units from 1,152 million units.

Commentary

The U.S. market is trading on a bullish momentum. The S&P 500 (+2.25%), Nasdaq (+2.71%), Dow Jones (+2.49%) and Russell (+2.84%) due to a U.S.–Iran ceasefire that eased oil supply fears, pushed crude prices lower, and boosted investor risk appetite. European markets rallied strongly, as the STOXX 600 (+3.64), FTSE 100 (+2.5%), DAX (+5.0%), and CAC 40 (+4.3%) on improved investor sentiment following the US–Iran ceasefire, further supported by declining oil prices, easing energy cost pressures, and strong gains across financial, industrial, and luxury sectors. Asian markets advanced broadly, as the Shanghai Composite Index (+2.69%), Hang Seng Index (+3.10%), and Nikkei 225 (+5.39%) on improved sentiment following the Middle East ceasefire and renewed risk appetite across global markets.