By Modupe Gbadeyanka
Yesterday, the Central Bank of Nigeria (CBN) conducted another auction of treasury bills at the primary market.
During the exercise, the apex bank raised the sum of N95.2 billion from investors, who purchased the government instrument.
Results from the primary market auction show that the one-year instrument recorded huge subscriptions from traders.
From the N38.08 billion worth of the 364-day bill offered to investors, the central bank received subscriptions valued at N173.92 billion with only N68.08 billion worth of the bill eventually sold to market players at 13.04 percent.
Business Post reports that N9.52 billion worth of the 91-day bill was sold on Wednesday at 11.75 percent, while N17.60 billion worth of the 182-day instrument was sold at the exercise at 12.70 percent.
Meanwhile, the treasury bills market remained largely bullish yesterday with yields shrinking further by 0.27 percent.
The market is expected to remain positive today with expectations of N420 billion from OMO and Net PMA repayments.
In a related development, the money market rates depressed slightly on Wednesday.
The overnight rate went down to 3.33 percent from 4.42 percent, while the Open Buy Back (OBB) rate declined to 2.67 percent from 3.33 percent.
