Treasury Bills Yields Rise as Funding Rates Remain in Single Digit
By Modupe Gbadeyanka
The treasury bills market was relatively quiet on Monday as investors look ahead for a fruitful trading week.
At the close of transactions, the average yields slightly went up 0.15 percent to settle at 11.97 percent.
Business Post reports that the market players are anticipating the inflows of N452 billion on Thursday from OMO T-bills maturing on that day.
Meanwhile, the money market rates marginally increased yesterday, but still remaining in single digit.
While the Open Buy Back (OBB) rate rose to 7.92 percent from 4.33 percent, the Overnight (OVN) rate jumped to 8.50 percent from 5.33 percent.
This came on the back of a slight squeeze in system liquidity due to Wholesale FX provisioning by banks.
“The rates are expected to remain stable today due to the relatively buoyant level of liquidity in the system,” analysts at Zedcrest Research said.