Local Bourse Sustains Positive Performance

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Local Bourse Sustains Positive Performance
Local Bourse Sustains Positive Performance

At the end of yesterday’s trading session, the Nigerian All Share Index closed in green, advancing by 0.56% to close at 51,377.21 points. Yesterday’s performance was due to buying pressures in bellwether stocks such as PRESCO (+9.71%) and DANGCEM (+1.85%). Consequently, the YTD return increased to 20.28% as market capitalisation improved by ₦153.90 billion to close at ₦27.70 trillion.

The sectoral performance weakened as four of the five indices under coverage declined. The Banking index, the biggest loser, declined by 0.61% on ZENITHBANK (-0.23%). The Insurance, Industrial and Oil & Gas indices, followed suit, falling by 0.39%, 0.28% and 0.19% on LINKASSURE (-3.57%), BUACEMENT (-3.16%) and OANDO (-1.38%) respectively. The Consumer Goods index, the sole gainer, advanced by 0.14% on FLOURMILL (+2.81%).

Investors’ sentiment was strengthened as the market breadth improved to 1.13x from 0.64x. This was illustrated by the advance of 18 stocks, led by ELLAHLAKES (+10.00%) and PRESCO (+9.71%) and the decline of 16 stocks, led by NNFM (-9.91%) and JOHNHOLT (-9.86%). Activity level strengthened as the total volume and value increased by 37.37% and 16.68%, as investors exchanged about 229.37mn units of shares worth over ₦3.20bn.

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Local Bourse Sustains Positive Performance - Brand Spur

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 a bullish sentiment across the bond yield curve as three of the four bond yields under coverage compressed while the FGN-APR-2023 bond paper yield inched higher by 3bps. The yields on the FGN-MAR-2024, FGN-JAN-2026 and FGN-JUL-2030 bond papers declined by 15bps, 6bps and 6bps respectively.

The Treasury bill yields for the 91 and 364-day-day paper closed flat at 3.48% and 6.09% respectively while the 182-day paper yield inched higher by 15bps to close at 5.48%.

We expect market activity to be influenced by the liquidity levels in the financial system

Market Snapshot

  • Local Bourse Sustains Positive Performance, NGX ASI Up 56bps
  • Bullish Sentiment across the Bond Yield Curve
  • Negative Performance in Global Stocks
  • Brent Crude Reports @ $109.69/barrel
  • Negative Performance in African Stocks