2022, is that You?
Welcome to the new year. Remember to indicate the year as 2022 on all your important documentation.
We are off to a quick start with the first part of this month’s auction closing tomorrow as the sale period of the FXD1/2020/5Yr (3.4 years) ends. My expectations for this paper remain unchanged as follows:
- FXD1/2020/5Yr (3.4 years): average of 11.05% - 11.15%, with the cut-off to come in 15 - 20bps away from the average.
The expectations for the other two papers being re-opened will be provided closer to their auction date. The prospectus is attached for any additional information required.
Attached is the CBK weekly report to assist in your reading of the market and updated benchmark Yield Curve levels are to be found on the attached pricelist. I have also attached the NSE Implied Yields for the NSE’s valuations of all the bonds. Below is a snapshot of what is at play within the secondary market. Happy hunting and wishing you and yours the very best this year!
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|
| Indicative Two-Way Quotes - Benchmark Tenors |
| Benchmark Tenor |
Bid (%) |
Offer (%) |
Mov (t-t0)% |
| 1Yr |
9.20 |
8.80 |
0.00 |
| 2Yr |
10.30 |
10.00 |
0.00 |
| 5yr |
11.50 |
11.35 |
0.00 |
| 10yr |
12.70 |
12.55 |
0.00 |
| 15yr |
13.00 |
12.80 |
0.00 |
| 20yr |
13.50 |
13.30 |
0.00 |
| 25yr |
13.70 |
13.60 |
0.00 |
|
|
| Indicative Two-Way Quotes - IFB Series |
| IFB series |
Maturity |
Bid (%) |
Offer (%) |
Mov (t-t0)% |
| IFB1/2017/7
(IFB13)
|
Nov-24 |
9.90 |
9.50 |
0.00 |
IFB1/2016/9
(IFB10) |
May-25 |
10.00 |
9.60 |
0.00 |
IFB1/2015/12
(IFB8) |
Mar-27 |
10.00 |
9.35 |
0.00 |
IFB1/2017/12
(IFB12) |
Feb-29 |
10.80 |
10.60 |
0.00 |
IFB1/2016/15
(IFB11) |
Oct-31 |
11.40 |
11.20 |
0.00 |
IFB1/2018/15
(IFB14) |
Jan-33 |
12.20 |
11.80 |
0.00 |
XIFB1/2018/20
(IFB15) |
Oct-38 |
12.00 |
11.80 |
0.00 |
IFB1/2019/25
(IFB16) |
Feb-44 |
12.50 |
12.15 |
0.00 |
IFB1/2019/16
(IFB17) |
Oct-35 |
12.40 |
12.10 |
0.00 |
IFB1/2020/9
(IFB18) |
Apr-29 |
11.10 |
10.90 |
0.00 |
IFB1/2020/6
(IFB19) |
May-26 |
10.00 |
9.70 |
0.00 |
IFB1/2020/11
(IFB20) |
Aug-31 |
12.00 |
11.70 |
0.00 |
IFB1/2021/16
(IFB21) |
Jan-37 |
12.30 |
12.20 |
0.00 |
IFB1/2021/18
(IFB22) |
Mar-39 |
12.45 |
12.25 |
0.00 |
IFB1/2021/21
(IFB23) |
Aug-42 |
12.55 |
12.45 |
0.00 |
|
|
| Key Interest Rates |
|
Mov (bps) |
| O/N Interbank |
4.9521% |
-37.09 |
| 91 Day T-bill |
7.271% |
0.70 |
| 182 Day T-bill |
8.095% |
11.30 |
| 364 Day T-bill |
9.367% |
10.20 |
| Inflation |
5.80% |
-65.00 |
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