Nigerian Financial Markets: Abundant Liquidity, Selective Tightening, and Shifting Investor Sentiment
Nigerian financial markets experienced contrasting trends last week, driven by abundant system liquidity exceeding ₦8 trillion and selective tightening by the CBN. Fixed-income markets remained bullish with strong NTB and OMO demand at the 364-day tenor and lower stop rates. However, the equities market reversed its recent momentum, declining 2.13% due to heavy profit-taking, particularly in heavyweight stocks. The Naira recorded marginal gains in the foreign exchange market.