At the end of yesterday’s trading session, the Nigerian equities market recorded positive performance for the third consecutive day as the benchmark index improved by 0.16% to close at 47,437.48 points.
Yesterday’s performance was due to buying interest in large-cap stocks such as FLOURMILL (+2.77%) and GTCO (+3.87%). Consequently, the YTD return increased to 11.05% as market capitalisation rose by ₦39.61 billion to close at ₦25.57 trillion.
The sectoral performance was mixed as two of the five indices under coverage improved, the Industrial and Consumer Goods indices closed flat while the Oil and Gas index, the only loser, declined by 0.35% on OANDO (-4.34%). The Banking and Insurance indices improved by 0.34% and 0.28% on GTCO (+3.85%) and NEM (+0.99%) respectively.
Investors’ sentiment weakened though flattish as the market breadth decreased to 1.00x from 1.05x. This was illustrated by the decline of 22 stocks, led by ROYALEX (-9.70%) and ELLAHLAKES (-9.57%) and the advance of 22 stocks, led by NIGERINS (+10.00%) and RTBRISCOE (+8.96%). Activity level strengthened as the total volume and value increased by 341.02% and 56.97% respectively as investors exchanged about 1.15 billion units of shares worth over ₦7.03bn.
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. the yields on the FGN-JUL-2030 closed flat while the yield on the FGN-JAN-2026 increased by 6bps. Both yields on the FGN-APR-2023 and FGN-MAR-2024 bond papers compressed by 146bps and 1bp respectively.
Treasury bill yields for the 91-day paper increased by 7bps to close at 3.27% while the 182 and 364-day paper yields closed flat at 3.54% and 3.99% respectively.
We expect market activity to be influenced by the liquidity levels and foreign investors’ participation.
MARKET SNAPSHOT
- Domestic Bourse Closes the Week in an upward Trajectory, NGX ASI Gains 16bps
- Mixed Sentiment across the Bond Yield Curve
- Negative Performance in Global Stocks
- Brent Crude Reports at $110.64/barrel
- Mixed Performance in African Stocks
