At the end of yesterday’s trading session, the Nigerian All-Share Index closed in green, increasing by 1.07% to close at 43,942.82 points.
The performance was due to buying Interest in large-cap stocks such as AIRTELAFRI (+0.37%) and DANGCEM (+7.77%). Hence, the YTD return increased to 2.87% as market capitalisation increased by ₦253.45 billion to close at ₦23.93 trillion.
The sectoral performance marginally stregthened as three of the five indices under coverage advanced. The Industrial index, the biggest gainer, rose by 3.51% on DANGCEM (+7.77%). The Oil & Gas and Banking indices, followed suit, declining by 0.12%, and 0.01% on MRS (+9.83%) and GTCO (+0.28%) respectively. On the flip side, the Insurance and Consumer Goods indices, the losers, decreased by 1.72% and 0.66% on AIICO (-1.79%) and NB (-5.66%) respectively.
Investors’ sentiment weakened as the market breadth decreased to 0.94x from 1.09x. This was illustrated by the decline of 16 stocks, led by JBERGER (-9.81%) and CADBURY (-9.69%) and the advance of 15 stocks, led by MRS (+9.83%) and COURTVILLE (+8.70%). Activity level stregthened as the total volume and value increased by 203.58% and 71.01%, as investors exchanged about 405.00mn units of shares worth over ₦3.10bn.
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 sentiments across the bond yields curve as two of the bonds under our coverage closed higher while the FGN-MAR-2024 and FGN-JUL-2030 bond papers closed flat. The yields on FGN-APR-2023, and FGN-JAN-2026 bond papers compresed by 218bps and 31bps respectively.
The yields for the 91-day paper compressed by 1bp to close at 11.86%, while the 364-day paper inched higher by 23bps to close at 15.51%. The yield on the 182-day paper remained unchanged at 8.36%.
We expect market activity to be influenced by the liquidity levels in the financial system.
- Buying Interest Sustained in the Domestic Bourse, NGX ASI Gains 107bps
- Mixed Sentiments across the Bond Yield Curve
- Positive Performance in Global Stocks
- Brent Crude Reports @ $92.72/barrel
- Positive Performance in African Stocks
