Financial market products & services update

*Financial markets.

*Financial markets.

23 June 2016, Sweetcrude, Houston — Local and international financial market products and services update.
NIGERIA: Nigeria’s distributable revenues to the three tiers of government rose in May to 305 billion Naira ($1.07 billion), up from 281.5 billion in April, boosted by higher oil prices and tax revenues, the finance minister said on Wednesday.
Nigeria, an OPEC member with Africa’s biggest economy which relies on crude sales for about 70 percent of national income, has been hit hard by the fall in global crude prices since mid-2014.
Militants have carried out a series of attacks on oil and gas facilities in the southern Niger Delta energy hub in the last few months, pushing crude production to 30-year lows. But the output disruption has helped to push up global crude prices.

FX: As price discovery continues, NGN posted a strong close yesterday, with indicative rates at market close ranging from $/NGN 281.50-284.

FIXED INCOME: O/N rate eased to 20% because some players who were fully debited for the FX auction on Tuesday could now access the SLF window yesterday. With the exception of the 20-DTM (14 July 16), bills

U.K: Growth in the euro area’s private sector slowed more than economists predicted in June, with firms expressing concerns about uncertainty ahead of the U.K.’s vote on its European Union membership.
A Purchasing Managers’ Index for manufacturing and services fell to 52.8 from 53.1 in May, London-based Markit Economics said on Thursday. The decline to the lowest level since January last year was driven by a slowdown in services activity. Business expectations in that sector slipped to the weakest in almost a year.
Markit’s survey suggests euro-area expansion slowed to around 0.3% in the second quarter from 0.6% in the first three months of the year.

E.U: European Central Bank supervisors will occasionally attend bank board meetings both to observe and to raise concerns, Daniele Nouy, the ECB’s top supervisor said on Thursday.
“From time to time, supervisors may attend all or parts of board meetings as observers,” Nouy told a conference in Frankfurt. “This allows them to observe, in a more practical sense, how effectively a board is functioning.”
“Supervisors might also attend board meetings in order to present certain issues such as the outcome of the SREP (Supervisory Review and Evaluation Process), specific concerns regarding risk or other supervisory findings,” Nouy added.

COMMODITIES: Oil traded near $49 a barrel after U.S. crude production and stockpiles dropped and as investors await the outcome of U.K. vote on whether to remain a member of the European Union.
August futures rose as much as 1.6% in New York. Production fell for 14 out of the last 15 weeks to the lowest since September 2014 and inventories slid by 917,000 barrels last week, according to data from the Energy Information Administration. Past opinion polls indicated the U.K. referendum, known as Brexit, could go either way.

Macro Economic Indicators
Inflation rate (Y-o-Y) for May 2016,           15.60%
Monetary Policy Rate current                      12.00%
FX Reserves (Bn $) as at Jun 17, 2016,      26.445

Money Market Highlights

O/N                          51.0000
30 Day                     12.2924
90 Day                     14.4345
180 Day                   15.6617
USD 1 Month         0.4508
USD 2 Months       0.5339
USD 3 Months       0.6418
USD 6 Months       0.9311
USD 12 Months     1.06675

Benchmark Yields
Tenor     Maturity    Yield (%)

91d            22-Sep-16    12.32
182d         15-Dec-16     13.30
364d        01-Jun-17      14.63
2y             30-May-18    14.13
3y             29-Jun-19     14.27
5y             13-Feb-20     14.61

Indicative Currency Exchange Rates
Bid        Offer

USDNGN        281.00      283.00
EURUSD        1.1289        1.1491
GBPUSD        1.4774        1.4974
USDJPY         104.90       104.93
USDCHF        0.94975    0.9601
GBPEUR        1.2957       1.3160
USDZAR        14.3335     14.5368
JPYNGN        270.3297  270.4303
CHFNGN      295.98       297.66
EURNGN      223.44       225.80
GBPNGN      286.94       288.34

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