The Nigerian All-Share Index closed positive, rising by 0.02% to close at 54,520.20 points.
The performance was due to buy-interest in large-cap stocks such as GTCO (+0.20%) and ZENITHBANK (+0.59%). Consequently, the YTD return increased to 6.38% as market capitalisation increased by ₦7.53 billion to close at ₦29.70 trillion.
The sectoral performance broadly weakened as four of the five indices under coverage decreased. The Insurance Index, led the laggards, falling by 0.41% on WAPIC (-4.65%). The Industrial, Oil & Gas and Banking indices, followed suit, falling by 0.13%, 0.02 and 0.01% on WAPCO (-2.44%), OANDO (-0.26%) and FBNH (-0.43%) respectively. Conversely, the Consumer Goods index, rose by 0.14% on DANGSUGAR (+0.29%).
Investors’ sentiment weakened as the market breadth decreased to 1.13x from 2.00x. This was illustrated by the decline of 15 stocks, led by COURTVILLE (-9.62%) and CWG (-8.99%) and the appreciation of 17 stocks, led by TRIPPLEG (+9.70%) and JAPAULGOLD (+7.14%). Activity level weakened as the total volume and value decreased by 6.40% and 17.28%, as investors exchanged about 125.86 mn units of shares worth over ₦3.60bn.
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 mixed sentiments across the bond yields curve as two of the bonds under our coverage compressed while the yields on the FGN-JUL-2030 bond paper closed flat. The yields on the FGN-APR-2023 and FGN-MAR-2024 compressed by 1bp each while the yield on the FGN-JAN-2026 inched higher by 25bps.
The yields on the 91, and 364-day papers closed flat at 3.85% and 3.79% respectively while the yields on the 182-day paper compressed by 14bps to close at at 4.17% respectively.
We expect market activity to be influenced by the liquidity levels in the financial system.
- Domestic Bourse Sustains Bullish Momentum, NGX ASI Gains 2bps
- Mixed Sentiments across the Bond Yield Curve
- Positive Performance in Global Stocks
- Commodities Market Closes in the Green
- Mixed Performance in African Stocks
- Naira Depreciates in the Parallel Market
