RFA Breakfast Paper - November 5, 2026
CBN Mops Up ₦3.46trn at OMO, T-Bill Sales
The Central Bank of Nigeria allotted about ₦3.46trn across its 3 November OMO auction and 4 November Treasury bills sale, against combined offers of ₦2.30trn and bids of ₦5.57trn (2.42x cover). OMO took ₦2.95trn at stop rates of 17.67%–17.77%, while the T-bill sale allotted only ₦509.41bn of an ₦800bn offer, leaving ₦1.54trn of bids unfilled, with stop rates held at 15.40%, 15.79% and 15.80%. The bank stepped up absorption after system liquidity swelled, with Standing Deposit Facility balances above ₦7.72trn on 3 November following ₦2.02trn of OMO maturities. Why it matters: the 192bp gap between the 126-day OMO rate and the 182-day T-bill stop rate shows the CBN is draining naira through OMO rather than the fiscal curve to support the currency, which slipped to ₦1,350.45/$ at NFEM on 5 November. Expect firm short-end yields and tighter bank liquidity into mid-November.
AI Rout Drags S&P 500 Down 4.36%
The S&P 500 fell 4.36% to 7,353.73 on Thursday, its worst day since April 2025, and the Nasdaq Composite lost 5.52% to 24,315.00, entering correction territory. Weak chip earnings and fears that Democratic gains in Congress, Texas and Georgia will bring tighter data-center rules drove a semiconductor and AI-infrastructure sell-off; technology fell 8.00% and all eleven sectors closed lower. The VIX jumped to 28.18 and the 10-year yield fell about 6bps to 4.84%. Friday's October payrolls report now sets the tone for December Fed hike odds, near two-thirds.
Dangote Cement Drags NGX ASI Down 1.98%
The NGX All-Share Index fell 1.98% to 249,710.59 on Thursday, erasing ₦3.28trn as market capitalisation dropped to ₦162.13trn. Dangote Cement fell the 10% daily limit to ₦1,341.00, accounting for about ₦2.5trn of the loss, while Presco also lost 10% to ₦1,656.80 and UACN and HBM Nigeria shed 7.85% and 7.71%. All six sector indices closed lower, led by industrials (-7.14%), with First HoldCo, Stanbic IBTC, GTCO and UBA weighing on banks. Breadth was negative at 20 gainers to 36 losers, while turnover nearly doubled to ₦74.09bn, a sign of active selling. The ASI is still up 60.47% year to date, but further large-cap selling could extend volatility.
