At the end of yesterday’s trading session, the Nigerian All Share Index sustained a positive performance, advancing further by 0.47% to close at 51,618.73 points.
Yesterday’s performance was due to buying pressures in bellwether stocks such as MTNN (+3.85%) and FBNH (+9.78%). Consequently, the YTD return increased to 20.84% as market capitalisation improved by ₦130.21 billion to close at ₦27.70 trillion.
The sectoral performance marginally strengthened as three of the five indices under coverage improved. The Insurance index, the biggest gainer, advanced by 0.73% on CHIPLC (+8.06%). The Oil & Gas and Banking indices, followed suit, rising by 0.53% and 0.15% on ARDOVA (+1.85%) and FBNH (+9.78%) respectively. Both the Consumer Goods and Industrial indices, the losers, declined by 0.34% and 0.01% on FLOURMILL (-0.46%) and MEYER (-9.68%).
Investors’ sentiment was weakened as the market breadth declined to 0.82x from 1.13x. This was illustrated by the decline of 22 stocks, led by ACADEMY (-10.00%) and ELLAHLAKES (-10.00%) and the advance of 18 stocks, led by FBNH (+9.78%) and FTNCOCOA (+9.38%). Activity level weakened as the total volume and value decreased by 2.67% and 10.57%, as investors exchanged about 223.25mn units of shares worth over ₦2.86bn.
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 flat, the FGN-APR-2023 bond paper yield inched higher by 3bps while the yield on the FGN-MAR-2024 bond paper compressed by 1bp. The yields on the FGN-JAN-2026 and FGN-JUL-2030 bond papers closed flat.
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 14bps to close at 5.62%.
We expect market activity to be influenced by the liquidity levels in the financial system
Market Snapshot
- Bullish Sentiment in the Domestic Bourse, NGX ASI Up 47bps
- Mixed Sentiment across the Bond Yield Curve
- Mixed Performance in Global Stocks
- Commodities Market Closes in Red
- Negative Performance in African Stocks
