The Nigerian All-Share Index closed in green, rising by 0.03% to close at 44,332.21 points.
The performance was due to bargain hunting in large-cap stocks such as WAPCO (+2.12%) and VITAFOAM (+0.75%). Consequently, the YTD return increased to 3.78% as market capitalisation increased by ₦7.66 billion to close at ₦24.15 trillion.
The sectoral performance marginally strengthened as three of the five indices under coverage advanced. The Insurance index, the biggest gainer, rose by 0.22%, on AIICO (+1.75%). The Consumer Goods and Industrial indices, followed suit, rising by 0.20% and 0.02% on DANGSUGAR (+3.92%) and WAPCO (+2.12%) respectively. Conversely, the Banking and Oil & Gas indices, the losers, fell by 0.82% and 0.39% on ZENITHBANK (-0.75%) and OANDO (-2.39%) respectively.
Investors’ sentiment strengthened as the market breadth increased to 1.13x from 0.94x. This was illustrated by the advance of 17 stocks, led by CWG (+9.60%) and JAPAULGOLD (+7.70%) and the decline of 15 stocks, led by BETAGLASS (-10.00%) and ALEX (-9.70%). Activity level weakened as the total volume and value decreased by 27.90%, respectively as investors exchanged about 119.22mn 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 bearish sentiments across the bond yield curve as three of the four bond yields under coverage cloed higher. The yields on the FGN-APR-2023, FGN-JAN-2026 and FGN-JUL-2030 bond papers advanced by 23bps, 39bps and 42bps respectively while the FGN-MAR-2024 bond paper remained unchanged.
The yields for the 91-day paper closed flat at 6.05% while the 182 and 364-day paper compressed by 1bp each to close at 9.84% and 15.42%.
We expect market activity to be influenced by the liquidity levels in the financial system.
- Positive Performance Returns in the Local Bourse, NGX ASI Sheds 3bps
- Bearish Sentiments across the Bond Yield Curve
- Positive Performance in Global Stocks
- Commodities Market Closes in Green
- Positive Performance in African Stocks