The Nigerian equities market continued the positive momentum at the end of yesterday’s trading session, with the benchmark index improving by 0.16% to close at 47,363.98 points. Yesterday’s performance was due to bargain hunting in large-cap stocks such as MTNN (+0.98%) and OKOMUOIL (+2.19%).
Consequently, the YTD return increased to 10.88% as market capitalisation rose by ₦41.44 billion to close at ₦25.53 trillion.
The sectoral performance marginally strengthened as three of the five indices under coverage improved, the Industrial index closed flat while the Consumer Goods index, the only loser, declined by 0.56% on NB (-0.96%). The Oil & Gas index, the biggest gainer, improved by 1.21% on ARDOVA (+0.43%). The Insurance and Banking indices followed suit, rising by 0.88% and 0.37% on NEM (+6.02%) and ZENITHBANK (+0.75%) respectively.
Investors’ sentiment weakened but positive as the market breadth decreased to 1.05x from 2.50x. This was illustrated by the advance of 21 stocks, led by UACN (+9.84%) and RTBRISCOE (+9.84%) and the decline of 20 stocks, led by ROYALEX (-9.46%) and ABCTRANS (-8.57%). Activity level was weakened as the total volume and value declined by 22.23% and 23.59% respectively as investors exchanged about 261.56 million units of shares worth over ₦4.48bn.
We expect positive sentiment to persist 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 under coverage closed lower while the yields on the FGN-JAN-2026 and FGN-JUL-2030 papers closed flat. Both yields on the FGN-APR-2023 and FGN-MAR-2024 bond papers compressed by 1bp.
Treasury bill yields for the 91 and 182-day paper increased by 2bps and 4bps to close at 3.20% and 3.54% respectively while the 364-day paper yield closed flat at 3.99%.
We expect market activity to be influenced by the liquidity levels and foreign investors’ participation.
MARKET SNAPSHOT
- Upward Trajectory Persists in the Local Bourse, NGX ASI Gains 16bps
- Mixed Sentiment across the Bond Yield Curve
- Negative Performance in Global Stocks
- Commodities Market Closed in Green
- Positive Performance in African Stocks
