Nigerian bond yields eye rates call

Nigeria's debt market could take its cue from the central bank's rate decision due later on Friday.
Bond yields fell across some of the heavily traded maturities this week due to strong buying pressure from investors covering their positions after the Debt Management Office sold fewer than expected bonds last week.
Nigeria sold bonds worth 44 billion naira ($221 million) at auction last week, short of the target of 70 billion naira initially set by the debt office.
"The market has been bullish because some investors were covering their over-sold positions prior to the last auction because the debt office sold below market expectations," one dealer said.
"We are expecting that the outcome of the rate decision at today's MPC will drive the market going forward. If nothing changes, then the market will continue to hover around the present level," another dealer said.
Yields fell the most on the longest tenor 2034 debt, down to 14.36 percent on Friday, from 14.85 percent on Monday.
The benchmark 2024 paper fell to 14.82 percent from 14.91 percent, while the 2022 debt fell to 14.79 from 14.91 percent.