Trading activities at the Nigerian Bourse closed bearish with the All-Share Index declining by 0.40% to close at 51,586.50 points.
Yesterday’s performance was due to selloffs in bellwether stocks such as BUAFOODS (-6.36%) and ZENITHBANK (-2.04%). Consequently, the YTD return decreased to 20.76% as market capitalisation dipped by ₦110.49 billion to close at ₦27.81 trillion.
The sectoral performance weakened as three of the five indices under coverage declined, the Industrial index, the sole gainer, improved by 0.01% on WAPCO (+0.38%), while the Oil & Gas index closed flat. The Consumer goods index, the biggest loser, fell by 0.58% on BUAFOODS (-6.36%). The Banking and Insurance indices, followed suit, falling by 0.53% and 0.48% on ZENITHBANK (-2.04%) and CHIPLC (-8.00%) respectively.
Investors’ sentiment strengthened as the market breadth increased to 1.44x from 0.94x. This was illustrated by the advance of 23 stocks, led by REDSTAREX (+10.00%) and JOHNHOLT (+9.76%) and the decline of 16 stocks, led by INTBREW (-9.52%) and CHIPLC (-8.00%). Activity level was mixed as the total volume advanced by 20.86% while the total value declined by 8.95%, as investors exchanged about 234.61mn units of shares worth over ₦2.57bn.
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 lower, the FGN-MAR-2024 bond yield inched higher by 9bps while the yield on the FGN-JAN-2026 bond paper closed flat. The yields on the FGN-APR-2023 and FGN-JUL-2030 bond paper compressed by 9bps and 1bp respectively.
The Treasury bill yields for the 91 and 182-day papers inched up by 117bps and 215bps to close at 7.48% and 8.88% respectively, while the 364-day paper compressed by 53bps to close at 6.39%.
We expect market activity to be influenced by the liquidity levels in the financial system
MARKET SNAPSHOT
- Domestic Trajectory Persists in the Domestic Bourse, NGX ASI Loses 40bps
- Mixed Sentiment across the Bond Yield Curve
- Negative Performance in Global Stocks
- Commodities Market Closes in Red
- Negative Performance in African Stocks
