At the end of Yesterday’s trading session, the Nigerian All Share Index closed positive, advancing by 1.24% to close at 52,591.41 points.
Yesterday’s performance was due to buying pressures in large cap stocks such as NGXGROUP (+1.32%) and VITAFOAM (+0.22%). Consequently, the YTD return increased to 23.12% as market capitalisation increased by ₦345.98 billion to close at ₦28.35 trillion.
The sectoral performance totally weakened as all the five indices under coverage declined. The Inurance index, the biggest loser, fell by 3.70% on NEM (-9.25%). The Banking, Consumer Goods, Oil & Gas, and Industrial Indices, followed suit, falling by 2.13, 1.33%, 0.76%, and 0.40% on ZENITHBANK (-1.67%), CHAMPION (-10.00%), ETERNA (-4.65%), and WAPCO (-5.53%) respectively.
Investors’ sentiment weakened as the market breadth decreased to 0.24x from 0.41x. This was illustrated by the decline of 39 stocks, led by CHAMPION (-10.00%) and MCNICHOLS (-10.00%) and the advance of 10 stocks, led by CHAMS (+9.52%) and FTNCOCOA (+6.06%). Activity level was weakened as the total volume and value decreased by 46.90% and 52.25% respectively, as investors exchanged about 382.46mn units of shares worth over ₦4.23bn.
We expect bearish sentiment to return in the next trading session due to profit-taking activities.
Fixed Income
There was bullish sentiment across the bond yield curve as three of the four bond yields under coverage contracted while the FGN-JUL-2030 bond paper closed flat. The FGN-APR-2023, FGN-MAR-2024 and FGN-JAN-2026 bond paper yield inched lower by 23bps, 1bp, and 1bp respectively.
Treasury bill yields for the 91, and 182-day bond papers closed flat at 2.99% and 3.61% while the 364-day bond paper inched up by 6bps to close at 4.92%.
We expect market activity to be influenced by the outcome of the PMA today.
MARKET SNAPSHOT
- Positive Performance Returns in the Local Bourse, NGX ASI Gains 124bps
- Bullish Sentiment across the Bond Yield Curve
- Positive Performance in Global Stocks
- Brent Crude Reports at $110.92/barrel
- Mixed Sentiments in African Stocks
