FMDQ market turnover rises by 31.6%, hits N23.3tr in September

FMDQ Securities market has posted a total turnover of ₦23.3 trillion in its secondary market segment for the month of September 2023. The figure represents a Month on Month (MoM) increase of 31.60 per cent N(5.59trillion) and Year on Year (YoY) of 17.16 per cent (₦3.41trillion) from August 2023 and September 2022 figures, respectively.
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According to the exchange, Money Market (MM), Foreign Exchange (FX) and CBN Bills transactions dominated secondary market activities, accounting for 80.3 per cent of the total secondary market turnover in September 2023.

Also, total spot market turnover for all products traded in the secondary market was ₦21.34 trillion in September 2023, representing a MoM increase of 29.02 per cent (₦4.80 trillion) from August 2023 figures.

FMDQ said the MoM increase in total spot market turnover was jointly driven by an increase in turnover across all spot market products by MM, Fixed Income (FI) and FX transactions increasing MoM by 30.67 per cent (₦1.87 trillion), 29.67 per cent (₦2.11trillion) and 24.48 per cent (₦0.82 trillion), respectively.

Further, it pointed out that the uptick in MM turnover was jointly driven by an increase in Repos/Buy-backs and Unsecured Placement/Takings transactions, respectively.

Similarly, the surge in FI turnover was driven by a MoM increase across all FI products, excluding Other Bonds which decreased in the review period.

Further breakdown of the September 2023 report indicated that Spot FX market turnover was $5.48 billion (₦4.15 trillion) representing a MoM increase of 25.40 per cent ($1.11 billion) from the turnover recorded in August 2023 ($4.37 billion).

In the FI Market, turnover hit ₦9.23 trillion within the period representing a MoM increase of 29.7 per cent (₦2.11 trillion) from the turnover recorded in August 2023 (₦7.12 trillion).

It further stated that the MoM increase in the FI market turnover was driven by the 25.74 per cent (₦0.47 trillion), 23.33 per cent (₦0.56 trillion), 23.95 per cent (₦0.33 trillion) and 50.08 per cent (₦0.76 trillion) increase in turnover across T.Bills, OMO Bills, CBN Special Bills and FGN Bonds, offsetting the 9.63 per cent (₦0.003 trillion) MoM decline in Other Bonds transactions, respectively.