FBNQuest FI-FX Daily Watch ; Interbank rates closed within a range of 2%-9%.
Opening market liquidity on Tuesday was N545bn (positive). Interbank rates closed within a range of 2%-9%. There was no OMO auction. On the secondary market for NTBs, there was a dip in yields for selected maturities at the shorter end.
The FGN bond market was quiet, and yields picked up at the short end of the curve. As for the Eurobond market, yields showed no clear direction.
The CBN’s daily fx intervention was again US$0.5m at N305.10. Turnover at the NAFEX increased from US$217m on Monday to US$339m. Indicative rates ranged from N350 to N361. THE USD dipped to a two-week low against a basket of currencies on Tuesday after Chinese President Xi Jinping’s promise to cut import tariffs eased concerns about a trade conflict. President Xi pledged to open the economy further and lower import tariffs on products including cars in his first public reaction to the tariff stand-off.