The Nigerian All Share Index extended its negative sentiment, falling by 0.69% to close at 49,991.41 points at the end of yesterday’s trading session. The performance was due to selloffs in large-cap stocks such as AIRTELAFRI (-1.96%) and ZENITHBANK (-3.57%).
Consequently, the YTD return decreased to 16.22% as market capitalisation fell by ₦186.89 billion to close at ₦26.78 trillion.
The sectoral performance was mixed as two of the five indices under coverage declined, two advanced while the Oil & Gas index closed flat. The Banking and Insurance indices, the losers, fell by 1.38% and 0.06% on ZENITHBANK (-3.57%) and REGALINS (-7.69%). On the flip side, the Consumer Goods and Industrial indices, the gainers, improved by 0.16% and 0.04% on UNILEVER (+9.43%) and CAP (+7.58%) respectively.
Investors’ sentiment weakened as the market breadth decreased to 0.61x from 0.75x. This was illustrated by the advance of 11 stocks, led by UNILEVER (+9.43%) and CAP (+7.58%) and the decline of 18 stocks, led by NPFMCRFBK (-7.83%) and REGALINS (-7.69%). Activity level was mixed as the total volume declined by 30.82% while the total value improved by 88.50%, as investors exchanged about 138.99mn units of shares worth over ₦2.73bn.
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 compressed, the yield on the FGN-JAN-2026 paper advanced by 18bps while the FGN-JUL-2030 bond yield closed flat. The yields on the FGN-APR-2023 and FGN-MAR-2024 bond papers compressed by 1bp and 19bps respectively.
The Treasury bill yields for the 91, 182 and 364-day papers closed flat at 11.53%, 6.49% and 6.78% respectively.
We expect market activity to be influenced by the liquidity levels in the financial system.
MARKET SNAPSHOT
- Downward Trajectory Persists in the Domestic Bourse, NGX ASI Sheds 11bps
- Mixed Sentiment across the Bond Yield Curve
- Positive Performance in Global Stocks
- Commodities Market Closes in the Red
- Positive Performance in African Stocks
