At the end of Yesterday’s trading session, the Nigerian equities market recorded negative performance for the third consecutive day as the benchmark index declined by 0.06% to close at 47,268.61 points. Yesterday`s performance was due to selloffs in large caps such as MTNN (-0.25%) and ZENITHBANK (-0.94%).
Consequently, the YTD return declined to 10.66% as market capitalisation decreased by ₦14.80 billion to close at ₦25.48 trillion.
The sectoral performance strengthened as three of the five indices under coverage improved, the industrial index closed flat while the Banking index, the only loser, declined by 0.66% on ZENITHBANK(-0.94%). The Insurance index, the biggest gainer, improved by 0.60% on LINKASSURE (+7.41%). The Oil & Gas and Consumer Goods Indices followed suit, increasing by 0.24%, and 0.13% on OANDO (+2.08%), and INTBREW(+3.09%) respectively.
Investors’ sentiment strengthened as the market breadth increased to 1.05x from 0.35x. This was illustrated by the advance of 20 stocks, led by JOHNHOLT (+8.86%) and REGALINS (+7.69%) and the decline of 19 stocks, led by ROYALEX (+9.40%) and MCNICHOLS (-9.09%). Activity level weakened as the total volume and value declined by 26.34% and 69.12% as investors exchanged about 179.33 million units of shares worth over ₦2.12 billion.
We expect positive sentiment to return in the next trading session as the equities market still presents decent opportunities for investors chasing positive real returns on investments.
Fixed Income
There was mixed sentiment across the bond yield curve as two of the four bond yields closed lower, the yield on the FGN-JUL-2030 closed flat while the yield on the FGN-JAN-2026 increased by 3bps. Both yields on the FGN-APR-2023 and FGN-MAR-2024 compressed by 1bps.
Treasury bill yields for the 91, 182, and 364-paper closed flat at 3.21%, 3.56%, and 3.97% respectively.
We expect market activity to be influenced by the liquidity levels and foreign investors’ participation.
MARKET SNAPSHOT
- Domestic Bourse Closes the Week in a Downward Trajectory, NGX ASI Loses 6bps
- Bullish Sentiment across the Bond Yield Curve
- Negative Performance in Global Stocks
- Commodities Market Closed in Green
- Mixed Performance in African Stocks
