The Nigerian All-Share Index closed positive, rising by 0.73% to close at 50,300.00 points. The performance was due to buy-interest in large-cap stocks such as GEREGU (+10.00%) and NESTLE (+10.00%).
Consequently, the YTD return increased to 17.75% as market capitalization increased by ₦199.02 billion to close at ₦27.39 trillion.
The sectoral performance broadly strengthened as all of the five indices under coverage advanced. The Consumer Goods index, the biggest gainer, rose by 3.65% on NESTLE (+10.00%). The Oil & Gas, Insurance, Banking, and Industrial indices, followed suit, rising by 2.82%, 1.84%, 0.27% and 0.14% 1.37% on OANDO (+2.31%), ROYALEX (+9.35%), GTCO (+0.43%) and WAPCO (+2.35%) respectively.
Investors’ sentiment weakened as the market breadth decreased to 4.00x from 4.50x. This was illustrated by the decline of 9 stocks, led by LIVESTOCK (-8.40%) and FBNH (-6.36%) and the appreciation of 36 stocks, led by GEREGU (+10.00%) and NESTLE (+10.00%). Activity level was mixed as the total volume decreased by 1.65% and while total value increased by 99.43%, as investors exchanged about 490.483mn units of shares worth over ₦7.75bn.
We expect buy-interest to persist as the equities market presents decent opportunities amid declining yields in the fixed-income market.
Fixed Income
There was quite outing across the bond yield curve as all of the bonds under our coverage closed flat. The FGN-APR-2023, FGN-MAR-2024, FGN-JAN-2026 and FGN-JUL-2030 bond papers remain unchanged.
The yields for the 91, 182 and 364-day papers remained unchanged to close at 4.45%, 5.57% and 8.56% respectively.
We expect market activity to be influenced by the liquidity levels in the financial system.
- Sustained Buy-Interest Lifts Local Bourse, NGX ASI Gains 73bps
- Quite Outing across the Bond Yield Curve
- Positive Performance in Global Stocks
- Brent Crude Reports @$82.56/barrel
- Mixed Performance in African Stocks
- Naira appreciates at the Parallel Market
