Author: Olu Anisere

Debt Office Hikes Interest Rates on Nigerian Bonds The Debt Management Office (DMO) hiked spot rates on Federal Government of Nigeria (FGN) bonds at the primary market auction conducted on Monday. The DMO conducted its monthly bonds auction with two offers across 5- and 7-year reopenings worth N460 billion available for subscriptions. Market participation was weaker than anticipated despite excess liquidity in the financial system at the time, though subscription still surpassed offer size with significant appetite for longer duration. Investors demanded higher rates despite disinflation and the expectation of an interest rate cut this week. Total subscription for the…

British Pound Sticks to $1.31 Ahead of UK Budget The British pound, or sterling, hovered around $1.31 as traders now waiting to digest the UK Budget details, with curiosity rising over the finance minister’s plan amidst tight economic conditions. The market has shifted attention to UK Chancellor’s budget on Wednesday as confidence in boardrooms has grown increasingly fragile as the Budget nears. Sterling carved a ledge near $1.3040 in the last three sessions and held above the month’s low closer to $1.3010. Sterling edged up a little through $1.3110 on Monday before stalling ahead of initial resistance near $1.3130. A…

Bitcoin Rises to $88K as Crypto Investors Sentiment Improves Bitcoin (BTCUSD) is climbing in the cryptocurrency market as investors stepped up position-taking activities in the world’s largest digital asset. Trading above $88k, BTCUSD fluctuation has been driven by investors liquidating leverage positions amidst strong ETF outflows. At press time, the token has surpassed $88k, trailing closely behind $90k – stuck between bound and looming death cross. Technical signals showed that BTC has reached an oversold, but its ability to breach resistance depends on investors’ appetite. Several creators argue that BTC’s pattern mirrors past “final flush” corrections, where 80k acts as…

Equity Investors Lose N69bn as NGX Opens Bearish Equity investors lost N69 billion on Monday as sell-side actors continue to book profit on companies’ stocks across sectoral indexes.  The market opened negative after the Nigerian Exchange (NGX) market cap fell by N2.09 trillion last week. The All-Share Index decreased by 108.01 basis points today, or -0.08%, to close at 143,614.61. The stock market capitalisation reduced by ₦68.68 billion to close at ₦91.34 trillion. Investors traded with caution amidst expectations that the monetary policy committee will reduce Nigeria’s benchmark interest rate after the completion of its bimonthly meeting. The seller market…

Banks’ Placement at CBN Window Falls by 40% Amidst OMO Actions Deposit money banks’ (DMBs) placements at the Central Bank of Nigeria (CBN) Standing Deposit Facility (SDF) window declined by 40% week on week while system liquidity crashed. System liquidity reduced sharply as the monetary authority stepped up its open market operations, with huge OMO bills offer sizes across two primary market auctions. The CBN was active in the money market last week, selling OMO and Nigerian Treasury bills to investors to mop up excess funds and replace expired short-term securities. The related auction outflows reduce the excess liquidity, though…

FX Spread Narrows as Naira Falls Across Official, Parallel Markets The FX spread, or the gap between official and unofficial exchange rates, narrowed as the naira traded negatively across currency markets.  The Nigerian foreign exchange market suffered US dollar scarcity last week, a development that forced the Central Bank intervention. The Apex Bank injected $250 million to strengthen FX supply and redirect the naira exchange rate at the official window, but the local currency had been cut too deep. The naira closed at N1454 per dollar at the official window as demand for US dollars surged amidst a slowdown in…

African Eurobonds Rally as Foreign Investors Rotate Portfolio Nigerian US dollar bonds alongside African Eurobonds rallied as foreign investors adjusted their portfolios in reaction to a weak US dollar, unemployment conditions and delayed consumer price index data. Foreign investors assessed market trends alongside targets to maximise returns, demonstrating interest in oil-related issuers such as Nigeria, while expressing optimistic sentiment towards Angola, Egypt, Ghana, and other countries. Nigerian sovereign instruments enjoyed a week of positive momentum, according to investment analysts across Broadstreet. In its note, Cowry Asset said investors repositioned ahead of the maturity of the November 2025 sovereign bond totalling…

ETH Rises by 4% on Upgrade Optimism, Dip Traders Positioning Ethereum (ETHUSD) price surges by about 4% in 24 hours as Fusaka upgrade optimism boosts investors’ sentiment amidst cryptocurrency sell-offs while dip traders begin to take positions. The world’s second-largest cryptocurrency 24 hours rally combines upgrade optimism, technical mean reversion, and macro-driven crypto inflows.  Crypto analysts explained that while bullish in the short term, ETH needs to hold $2,800 and show Fusaka execution progress to sustain momentum. The Fusaka upgrade is highly important to Ethereum’s future, as it is a foundational step designed to dramatically improve scalability, enhance efficiency, and…

BTCUSD Gains 3% as Crypto Market Struggles to Rebound Bitcoin (BTCUSD) climbed by about 3% in 24 hours in a struggle to rebound amidst sell pressures in the cryptocurrency market. According to data from CoinMarketCap.com, Hovering above $86.6K, bitcoin price inched higher by 2.84% over $42.45 billion in trading volume. The traction lifted market value of the largest crypto asset to $1.721 trillion, pushing the global market cap of digital assets to $2.95 trillion. Top cryptocurrencies are struggling to climb amidst twisted sentiment spurred by rising liquidation. Trading patterns suggest that retail investors seeking to take advantage of buying the…

Sterling Swings versus Dollar, Euro Ahead of UK Budget The British pound, or the sterling, traded on a mixed note against the United States (U.S.) dollar, euro and Japanese yen in the forex market ahead of the UK budget. The British pound declined versus the US dollar but was relatively steady against the European single currency after weak sales data in the week and sharp fluctuation in the purchasing manager index (PMI). The Pound to Dollar exchange rate ended the week at 1.3102, a touch higher after several sessions in which Sterling repeatedly recovered dips from the low-1.30s. GBP/USD traded…