T-Bills Yields Drops to 15.54% as Overnight Rate Falls to 4.08%

December 12, 2017
Treasury Bills CBN Sold

By Modupe Gbadeyanka

The treasury bills market was bearish on Monday as activities resumed, leaving the average yields to fall at the close of business.

Business Post reports that the T-bill yields depreciated to 15.54 percent from 16.24 percent in the previous session.

The decline and downward momentum at the market comes as the Central Bank of Nigeria (CBN) is yet to resume the sale of the government instrument via the open market operations (OMO).

This bearish trend is expected to continue on Tuesday especially in the absence of any significant intervention by the apex bank.

Meanwhile, the overnight rate depreciated to 4.08 percent from 6.25 percent recorded in the last trading session on Friday.

Similarly, the open buy back (OBB) rate slumped to 3.25 percent from 5.17 percent in the last previous session.

The fall by the rates was caused by the inflows from FAAC payments as well as the retail forex refunds by the CBN.

The rates are expected to remain lowered as market players anticipate inflows of N70 billion from OMO.

Modupe Gbadeyanka

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

Leave a Reply

Nigeria's Imports Fall to N2.4tr, Exports Rise to N3.6tr in Q3 2017—NBS
Previous Story

Nigeria’s Imports Fall to N2.4tr, Exports Rise to N3.6tr in Q3 2017—NBS

Access Bank Picks 4 CBN Sustainability Awards
Next Story

Access Bank Picks 4 CBN Sustainability Awards

Latest from Economy

Prop Trading FXCI

Prop Trading Success

In the fast-paced and competitive world of finance, the path to success in proprietary trading can often be elusive. However, by implementing a few

Don't Miss