Daily Financial Markets Update

Commentary

System liquidity opened the week with a surplus of ₦4.92 trillion. The Overnight (O/N) rate rose by 2bps to open the week at 22.21%, while Open Buy-Back (OBB) rate was unchanged, holding steady at 22.00%.

Commentary

The T-bills market opened the week on a quiet note with mixed sentiment. The 10-Sep-2026 bill edged higher by 11bps to 16.00%, while the 6-Aug-2026 bill eased by 13bps to 15.74%. The 6-May-2027 bill declined marginally by 3bps to 15.96%. The average benchmark rate closed flat at 16.04%.

Commentary

The FGN bond market opened the week on a bullish note. The 27-Aug-2030 bond led gains, declining by 10bps to 16.45%, while the 20-Mar-2027 bond also eased by 6bps to 17.96%. The 29-Jan-2035 bond edged marginally higher by 6bps, while the rest of the curve remained unchanged. The average benchmark yield declined by 1bp, closing at 16.09%.

Commentary

The SSA Eurobond market opened the week on a mixed note, as risk sentiment was dampened by Trump's rejection of Iran's response to the U.S. peace proposal, describing it as unacceptable and raising fears of further escalation in the Gulf. Nigeria and Egypt yields edged higher by 2bps each to 7.00% and 7.08% respectively, while Angola bucked the trend, tightening marginally by 2bps to 7.88%.

Commentary

The local bourse opened the week on a positive note, as the NGX All-Share Index (ASI) gained 2.33% to close at 250,485.6 points for the day, pushing the year-to-date return to 60.97%. Sectoral performance opened the week on a bullish note, as gains were recorded across all key indices reflecting improved business sentiment. The Consumer Goods sector gained 3.85%, led by a solid 9.81% gain in CHAMPION. The Oil and Gas sector increased marginally by 0.03%, supported by an 8.79% uptick in the share price of ETERNA. Similarly, the Banking sector recorded a gain of 4.67%, driven by buying interest of 6.25% in GTCO. The Industrial Goods sector posted a modest gain of 4.32%, bolstered by strong buying interest of 9.99% in BERGER. The Insurance sector also closed higher, up by 0.59%, following a strong rally of 10% in INTENEGINS. Market breadth stood at 2.71x with 57 gainers and 21 losers. Market capitalization improved to ₦160.253 trillion from ₦157.094 trillion. Trading activity opened the week bullish, with turnover value increased to ₦68.45 billion from ₦55.036 billion while volume traded increased to 1,485.88 million units from 1,066.49 million units.

Commentary

U.S. market is trading bullish, S&P 500 (+0.32%), Nasdaq (+0.32%), Dow Jones (+0.10%), and Russell (+0.72%) as strong earnings optimism offset concerns over Iran tensions and higher oil prices. European markets closed mixed. STOXX (+0.11%), DAX (+0.07%) and FTSE (+0.36%) on gains in oil and corporate stocks, while CAC (-0.76%) pressured by Middle East tensions and rising oil prices. Asian markets closed the day mixed. Shanghai (+1.08%) on strong trade data, Hang Seng (+0.05%) on technology and AI stocks and Nikkei (-0.47%) on a surge in oil prices following President Trump rejecting Iran's response to his peace proposal, leaving the strait of Hormuz shut.