Local Bourse Starts The Week In Red, NGX ASI Sheds 38bps

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Positive Performance Returns In The Local Bourse As Investors Gain ₦54.82 Billion

At the end of today’s trading session, the Nigerian equities market closed negative as the benchmark index declined by 0.38% to close 40,714.00 points.

This was mainly due to sell pressures in bellwether stocks such as NB (-6.06%) and BUACEMENT (-2.50%). Consequently, the YTD return declined to 1.10% as market capitalisation decreased by ₦80.44 billion to close at  ₦21.22 trillion.

The sectoral performance was mixed as two of the five indices under coverage improved, two indices declined while the Oil & Gas index closed flat.

The Banking and Insurance indices, the gainers, improved by 0.75% and 0.44% on ZENITHBANK (+0.20%) and NEM (+9.95%). Conversely, the Consumer Goods and Industrial indices, the losers, weakened by 1.00% and 0.57% on NB (-6.06%) and BUACEMENT (-2.50%) respectively.

Local Bourse Starts The Week In Red, NGX ASI Sheds 38bps

Investor sentiment weakened in today’s trading session, as market breadth decreased to 1.00x from 1.35x. This was illustrated by the advance of 17 stocks, led by NEM (+9.95%) and ETI (+9.52%) and the decline of 17 stocks, led by SOVRENINS (-8.33%) and NB (-6.06%). Activity level weakened as total volume and value decreased by 42.21% and 11.26% as investors exchanged about 191.31 million units of shares worth over N2.59 billion.

Local Bourse Starts The Week In Red, NGX ASI Sheds 38bps - Brand Spur

We expect bullish momentum to return in the next trading session as the equities market still presents decent opportunities for investors chasing positive real return on investments.

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Fixed Income

There was relatively bullish sentiment across the bond yield curve as 3 of the 4 bond yields under coverage closed lower while the yield on FGN-JAN-2026 closed flat at 10.70%. The yields on the FGN-APR-2023, FGN-APR-2024 and FGN-JUL-2030 compressed by 2bps, 1bp and 1bp respectively.

Treasury bill yields for the 91, 182, 364-day papers closed flat at 3.37%, 4.10% and 6.98% respectively.

We expect a further decline in yields in the next trading session on the back of huge demand from investors and the deliberate efforts of the  DMO to reduce borrowing costs.

MARKET SNAPSHOT

  • Local Bourse Starts the Week in Red, NGX ASI Sheds 38bps
  • Bullish Sentiment across the Bond Yield Curve
  • Positive Performance in Global Stocks
  • Brent Crude Reports at #83.94/$
  • Mixed Sentiment in African Stocks