Financial market update

14 February 2013, Sweetcrude, Lagos – Local and international financial market update.
NIGERIA: The total non- oil export earnings by Nigerian exporters increased by 72.9 per cent to $987.10 million at the end of the fourth quarter last year, the Central Bank of Nigeria (CBN) has said. This, according to the bank, also reflected an increase of 65.6 per cent above the level in the corresponding quarter of 2011. The CBN said this in its economic report for the fourth quarter of 2012, posted on its website Tuesday.

EUROPE: The German economy, Europe’s largest, shrank more than economists forecast in the fourth quarter as exports declined. Gross domestic product fell 0.6 percent from the third quarter, when it gained 0.2 percent, the Federal Statistics Office in Wiesbaden said today.

INDIA: Indian inflation slowed to a more than three-year low in January, a deceleration that if sustained may boost room for another interest-rate cut as growth falters. The wholesale-price index rose 6.62 percent from a year earlier, after climbing 7.18 percent in December, the Commerce Ministry said in a statement in New Delhi today.

CHINA: China’s oil refining industry grew steadily in 2012 as a result of rising domestic consumption, according to a report from the country’s top economic planner. Chinese oil refiners processed 467.91 million tonnes of crude oil in 2012, up 3.7 percent year on year, said a report posted on the website of the National Development and Reform Commission (NDRC).

Bonds – Bond yields traded flat in yesterday’s session, demand diverted from secondary trading to the auction on expectation of better yields, results yet to be announced.

Bills – Demand for bills remain weak across board improving yields 5 – 10bps in yesterday’s session. Expected liquidity inflow tomorrow likely to rekindle interests on the buy side when traders re-invest idle funds.

Money Market – OBB and O/N rate up 50bps to 14.25% and 14.50% as liquidity level drop, expected inflow of ngn195.263 bio from a maturing t-bill today.

CBN WDAS AUCTION- CBN offered and sold $!20mio. Marginal rate at 155.74 naira, unchanged from previous sale on Feb. 11.

Indicative Currency Exchange Rates
                              Bid             Offer
EURUSD             1.3388         1.3398
GBPUSD              1.5507         1.5517
USDJPY               93.47           93.87
USDCHF              0.9208       0.9228
GBPEUR              1.1582         1.1592
USDZAR              8.8752        8.9752
USDNGN             156.95         157.70
JPYNGN              1.6791          1.7291
CHFNGN             170.45         174.45
EURNGN             210.12         214.12
GBPNGN             243.38        247.38
ZARNGN             17.68           19.68

West Texas Intermediate oil in New York fell after Iran said it was nearing agreement with nuclear inspectors and as the Energy Information Administration said U.S. crude output rose to the highest level in 20 years. Crude oil for March delivery fell 50 cents to settle at $97.01 a  barrel on the New York Mercantile Exchange.

Interest rates
NIBOR (%)                         LIBOR (%)

O/N               14.7083            USD 1 month          0.2012
7 Day             15.0417             USD 2 month         0.2460
30 Day          15.4167             USD 3 month         0.2901
60 Day          15.7083            USD 4 month         0.3446
90 Day          16.0000           USD 6 month         0.4649
USD 12 month       0.7620
Y/Y Consumer Inflation December 2012 :        12.00%
FX Reserves: 02 February 2013 (USD bn)        46.219
MPR                                                                           12.00%
Source: Reuters, Bloomberg, Central Bank of Nigeria, Financial Market Dealers Association Standard Chartered Bank Nigeria.

                               Hi              Low          Close         Prev.|Close
USD/NGN      157.35/45    157.15/25   157.32/42    157.35/45

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