The Nigerian equities market closed positive at the end of today’s session as the benchmark index improved by 0.41% to close at 41,961.14 points.
This was mainly due to buy pressures in bellwether stocks such as NB (+6.37%) and GUINNESS (+10.00%). Consequently, the YTD return improved to 4.20% as market capitalization increased by ₦89.53 billion to close at ₦21.90 trillion.
The sectoral performance significantly strengthened as four of the five indices under coverage improved while the Insurance index declined by 0.21% on MANSARD (-6.02%). The Consumer Goods index, the biggest gainer, increased by 1.47% on GUINNESS (+10.00%). The Banking, Oil & Gas and Industrial indices followed suit, rising by 0.67%, 0.19% and 0.10% on ZENITHBANK (+0.20%), OANDO (+0.99%) and WAPCO (+1.59%) respectively.
Investor sentiment strengthened in today’s trading session, as market breadth increased to 1.62x from 1.60x. This was illustrated by the advance of 21 stocks, led by GUINNESS (+10.00%) and UPL (+10.00%) and the decline of 13 stocks, led by MANSARD (-6.02%) and JAPAULGOLD (-4.44%). Activity level strengthened as total volume and value increased by 96.38% and 37.50% as investors exchanged about 558.89 million units of shares worth over N4.40 billion.
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.
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 the FGN-JAN-2026 bond paper closed flat. The yields on the FGN-APR-2023, FGN-APR-2024 and FGN-JUL-2030 bond papers compressed by 93bps, 60bps and 1bp respectively.
Treasury bill yields for the 91 and 182-day papers increased by 46bps and 58bps to close at 4.22% and 5.17% while the 364-day paper closed flat at 7.16%.
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
- Positive Performance Returns in the Local Bourse, NGX ASI Gains 41bps
- Bullish Sentiment across the Bond Yield Curve
- Mixed Performance in Global Stocks
- Brent Crude Reports at $83.74/$
- Bullish Performance in African Stocks
