Weekly Market Insights: Global Trends and Local Implications
- Average system liquidity declined by 1.10% to N4.61 trillion, as the CBN intensified its liquidity sterilisation efforts, withdrawing an estimated N3.83 trillion from the financial system.
- Looking ahead, about N1.53 trillion is expected from maturing securities this week, slightly higher than the N1.48 trillion expected last week. OMO maturities account for approximately 81% of the projected inflows.
- The naira depreciated marginally by 0.08% in the NFEM market to N1,362.32/$, amid lower FX market turnover during the week.
- Oil prices declined by 4.28% to an average of $91.30/bbl, as optimism surrounding a potential U.S.-Iran peace agreement eased concerns over supply disruptions.
- Average external reserves continued to improve, supported by sustained investor confidence and the gradual receipt of proceeds from earlier crude oil exports.
- Global bond yields edged higher across major economies, reflecting persistent inflation concerns and expectations that central banks will maintain a cautious monetary policy stance.
