By Cowry Asset
The FGN Eurobonds traded on the London Stock Exchange (LSE) increased in value across most of the maturities amid bargain hunting last week.
The 10-year, 6.75% JAN 28, 2021 bond and the 10-year, 6.38% JUL 12, 2023 bond appreciated by $0.50 (yield fell to 4.74 percent) and $1.36 (yield fell to 5.44 percent) respectively.
Also, FGN bonds traded at the OTC segment appreciated across all the maturities amid buy pressure, in line with our expectation.
The 20-year, 10.00 percent FGN JULY 2030 debt, the 10-year 16.39 percent FGN JAN 2022 debt and the 7-year 16.00 percent FGN JUN 2019 debt appreciated by N0.07, N0.15 and N0.07 respectively; their corresponding yields fell to 16.07 percent (from 16.08 percent), 16.19 percent (from 16.23 percent) and 16.45 percent (from 16.48 percent) respectively.
This week, we anticipate sustained bargain hunting in the OTC market on the back of expected boost in financial system liquidity.
Adedapo Adesanya