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.
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
