Financial market update

03 May 2012, Sweetcrude, Lagos – Local and international financial market update.
NIGERIA: The country’s total debt profile now stands at $44.28bn (N6.88tn), according to the Debt Management Office. Statistics obtained from the DMO on Monday showed that the domestic debt component of the total indebtedness stood at $38.37bn (N5.97tn), while the external debt stood at $5.91bn (N919.44bn) as at March 31.” 2012 [PUNCH]

EUROPE: Spanish stocks plunged, pushing the IBEX 35 Index to its lowest level in more than three years, as a selloff in banks sent the benchmark measure tumbling. The IBEX 35 dropped 2.6 percent to 6,831.9 at the close in Madrid yesterday, its lowest level since March 2009. The gauge has sunk 20 percent this year, the worst performance of 24 developed markets tracked by Bloomberg, as the Spanish economy entered its second recession since 2008.

INDIA: Indian stocks dropped for the first time in four days amid concern the government will find it difficult to rein in the fiscal deficit as the rupee dropped to a four-month low. Europe’s debt crisis has crimped exports by Asian nations from China and India to South Korea, while an 11 percent climb in oil prices this year has swelled import bills. A weak rupee lifts the cost of imported oil and other raw materials, fuelling inflation and reducing the central bank’s scope to pare rates. The BSE India Sensitive Index lost 0.1 percent 17,301.91 at the close on Wednesday.

Bonds – Continuous caution and quiet trading yesterday with yields largely flat across the curve.

Bills – Bullish markets still with the short end the main focus on Wednesday, 91day bills and lower dipping significantly an average 100bps while the longer dated maturities closed relatively flat, inching up on some maturities.

Money Market – OBB and unsecured O/N rates are up about 150bops yesterday to close at 13.50% and 14.00% as liquidity reduces on the back of the OMO auctions last week and on Monday.

CBN WDAS Auction
Offered: 150mio Sold: 150mio
Marginal rate: 155.70
Weighted average: 155.77
No. of Banks: 15

FX
                           Hi              Low           Close        Prev.Close
USD/NGN   157.40/50   157.25/35   157.30/40   157.32/42