At the end of yesterday’s trading session, the Nigerian All-Share Index closed negative, decreasing by 0.25% to close at 47,436.45 points.
The performance was due to sell-offs in large-cap stocks such as BUACEMENT (-2.78%) and GTCO (-0.25%). Consequently, the YTD return decreased to 11.05% as market capitalisation decreased by ₦64.21 billion to close at ₦25.84 trillion.
The sectoral performance marginally stregnthened as three of the five indices under coverage advanced. The Insurance index, the biggest gainer, rose by 1.49% on NEM (+9.22%). The Oil & Gas and Consumer Goods Indices, followed suit, increasing by 0.09%, and 0.02% on ETERNA (+3.86%) and NASCON(+7.00%) respectively. Conversely, the Industrial and Banking indices, the gainers, decreased by 0.90% and 0.22 on BUACEMENT (-2.78%) and GTCO (-0.25%).
Investors’ sentiment weakened as the market breadth decreased to 0.88x from 2.25x. This was illustrated by the depreciation of 17 stocks, led by BETAGLAS (-9.90%) and MCNICHOLS (-9.68%) and the appreciation of 15 stocks, led by PRESTIGE (+9.30%) and NEM (+9.22%). Activity level was mixed as the total volume increased by 182.16% while value decreased by 72.36%, as investors exchanged about 279.28mn units of shares worth over ₦1.52bn.
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.
There was mixed sentiments across the bond yields curve as two of the bonds under our coverage climed higher while the yields on the FGN-MAR-2024 closed flat. The yields on FGN-APR-2023 and FGN-JUL-2030 bond papers advanced by 8bps and 3bps while the yields on the FGN-JAN-2026 compressed by 1bp.
The yields for the 182 and 364-day papers compressed by 1bp and 2bps to close at 9.96% and 15.39% respectively while the yields on the 91-day paper closed flat at 10.49%%.
We expect market activity to be influenced by the liquidity levels in the financial system.
- Profit Taking Drags the Local Bourse Southwards, NGX ASI Sheds 25bps
- Mixed Sentiments across the Bond Yield Curve
- Negative Performance in Global Stocks
- Commodities Market Closes in Red
- Negative Performance in African Stocks
- Naira Remains Unchanged at the parallel market