In the just concluded week, the values of FGN bonds traded at the over-the-counter (OTC) segment moved in mixed directions across maturities tracked.
Specifically, the 5-year, 14.50% FGN JUL 2021 bond and the 7-year, 13.53% FGN MAR 2025 note moderated by N0.57 and N2.35 respectively, their corresponding yields climbed to 3.17% (from 2.81%) and 6.44% (from 5.96%) respectively.
However, the 10-year, 16.29% FGN MAR 2027
debt and the 20-year, 16.25% FGN APR 2037
debt gained N0.45 and N4.69 respectively, their corresponding yields fell to 7.82% (from 7.91%) and 9.43% (from 9.84%) respectively.
Meanwhile, the value of FGN Eurobonds traded at the international capital market rose for all maturities tracked on sustained bullish run.
The 10-year, 6.75% JAN 28, 2021 bond, the 20-year, 7.69% FEB 23, 2038 paper and the 30-year, 7.62% NOV 28, 2047 debt gained USD0.07, USD3.40 and USD3.20 respectively; while their corresponding yields fell to 3.63% (from 3.91%), 7.85% (from 8.23%) and 7.96% (from 8.27%) respectively.
In the new week, Debt Management Office will issue bonds worth N150 billion, viz: 12.50% FGN APR 2026 (10- Yr re-opening) worth N25 billion, 12.50% FGN APR 2035 (15-Yr re-opening) worth N40 billion, FGN JUL 2045(25-Yr New Issue) worth N45 billion and 12.98% FGN APR 2050 (30-Yr Re-opening) worth N40 billion respectively. We expect the bonds stop rates to moderate amid demand pressure.