Yields on Nigeria’s bills seen mixed at next week auction

Yields on Nigeria’s bills are seen mixed at an auction next week as strong investor demand is expected only at the short end of the curve.

Nigeria plans to issue about N168.28 billion ($1.03 billion) in Treasury Bills on Thursday.

Traders said there has been mixed activity in the market this week because of initial profit-taking and later increased interest from offshore investors attracted to the shorter-dated paper.

“We expect strong demand at the auction and yields falling marginally on the short-end of the curve, while the long tenor is seen flat depending on the level of interest,” one dealer said.

Yields were also mixed at the bond auction this week, with the three-year paper sold at a higher yield, while that on the 10-year paper fell compared to their previous auctions.

– Reuters