By Cowry Asset

In the just concluded week, local OTC bond prices appreciated across the maturities due to resumed bargain hunting activity.

Specifically, the 20-year, 10.00% FGN July 2030 bond, the 10-year, 16.39% FGN JAN 2022 paper, the 7-year, 16.00% FGN JUN 2019 paper and the 5-year, 14.50% FGN JUL 2021 paper appreciated by N0.50, N0.39, N0.21 and N0.74 respectively while their corresponding yields fell to 14.85% (from 14.96%), 14.72% (from 14.85%), 14.94% (from 15.09%) and 14.88% (from 15.15%).

Elsewhere, FGN Eurobonds prices also declined for all maturities amid sustained profit taking activities on the London Stock Exchange.

Specifically, the 10-year bonds, 6.75% JAN 28, 2021 and 6.38% JUL 12, 2023 gained N0.01 and N0.20 respectively (corresponding yields decreased to 4.64% and 5.43% respectively); however, the 5-year, 5.13% JUL 12, 2018 bond shed N0.03 (yield rose to 3.49%).

This week, we anticipate a mix of bargain hunting and profit taking at the domestic OTC bond market.