Sell Pressure Shoots Treasury Bills Yields to 13.35%

By Dipo Olowookere

Treasury bills yields at the secondary market skyrocketed on Monday as investors embarked on a selling spree almost across the maturities tracked on the first trading session of the week.

This pushed the average yields up at the market yesterday by 0.10 percent to settle at 13.35 percent as market players anticipate boost in financial system liquidity this week.

Business Post reports that in the course of the week, the financial system will be expecting inflows from the N720.88 billion FAAC allocation to states as well as maturing OMO bills valued at N422.05 billion on Thursday.

Back to transactions at the secondary market yesterday, only the long end of the curve came under buying pressure, resulting in the 12-month yield going down by 0.02 percent to close at 15.19 percent from 15.21 percent.

The three-month tenor recorded the highest growth in yield as it went up by 0.24 percent to 12.27 percent from 12.03 percent.

It was followed by the six-month maturity, which recorded a 0.09 percent rise in yield to close at 13.38 percent from 13.29 percent, while the one-month tenor had a 0.07 percent appreciation in yield to finish at 12.57 percent against 12.50 percent in the previous session.