At the end of yesterday’s trading session, the Nigerian All Share Index closed in red, declining by 0.14% to close at 53,193.98 points.
Yesterday’s performance was due to selloffs in large-cap stocks such as FBNH (-5.50%) and STANBIC (-1.47%) Consequently, the YTD return decreased to 24.53% as market capitalisation declined by ₦41.46 billion to close at ₦28.68 trillion.
The sectoral performance marginally weakened as two of the five indices under coverage improved, two declined while the Oil & Gas index closed flat. The Industrial and Consumer goods indices, the gainers, rose by 0.13% and 0.03% on WAPCO (+0.36%) and DANGSUGAR (+0.62%) respectively. On the flip side, both the Insurance and Banking indices, the laggers, fell by 1.76% and 0.86% on NEM (-8.33%) and STANBIC (-1.47%) respectively.
Investors’ sentiment weakened as the market breadth decreased to 0.89x from 1.07x. This was illustrated by the advance of 16 stocks, led by CAVERTON (+7.34%) and FTNCOCOA (+5.88%) and the decline of 18 stocks, led by CHAMPION (-9.79%) and CORNERST (-9.68%). Activity level was mixed as the total volume increased by 6.11% while the total value declined by 32.19%, as investors exchanged about 248.96mn units of shares worth over 1.86bn.
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 under coverage closed flat, the FGN-MAR-2024 bond paper yield compressed by 1bp while the yield on the FGN-JAN-2026 inched higher by 9bps. The FGN-APR-2023 and FGN-JUL-2030 bond paper yields closed flat.
Treasury bill yield for the 91-day paper increased by 30bps to close at 3.54% while the 182 and 364-day paper yields closed flat at 3.89% and 5.07% respectively.
We expect market activity to be influenced by the liquidity levels in the financial system
Market Snapshot
- Bears Suppress the Bulls in the Domestic Bourse, NGX ASI Down 14bps
- Mixed Sentiment across the Bond Yield Curve
- Negative Performance in Global Stocks
- Commodities Market Closes in Green
- Mixed Performance in African Stocks