VAIDS

Thursday, April 2, 2015

Yield on 5-year bond sheds 25 bps

The yield on Nigeria’s 5-year bond fell further on Thursday, shedding 25 basis points as offshore funds placed buy orders with banks following a presidential poll in Africa’s biggest economy won by opposition leader Muhammadu Buhari, dealers said.

The 2019 debt, one of the maturities listed on JP Morgan’s Government Bond Index-Emerging Markets (GBI-EM), has fallen more than 110 basis points in the past two days on renewed buying on news of Buhari victory over incumbent Goodluck Jonathan.

The bond’s yield was quoted at 13.86 percent in early trade, down from 14.11 percent on Wednesday. It stood at 15.03 percent on Tuesday.

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