EQUITIES
The Nigerian stock market kicked off the week on a positive note as buying interest in NB (+9.9%) and ZENITHBANK (+2.3%) drove the All-Share Index higher by 49bps to 104,739.61 points. As a result, the month-to-date and year-to-date returns settled at -0.9% and +1.8%, respectively.
The total volume of trades decreased by 6.1% to 353.28 million units, valued at NGN7.20 billion, and exchanged in 13,734 deals. ACCESSCORP was the most traded stock by volume at 38.61 million units, while ZENITHBANK was the most traded by value at NGN1.07 billion.
Analysing by sectors, the Consumer Goods (+2.5%), Insurance (+2.2%), Banking (+0.7%) and Industrial Goods (+0.1%) indices advanced while the Oil & Gas (-0.1%) index declined.
As measured by market breadth, market sentiment was positive (1.9x), as 38 tickers gained relative to 20 losers. INTBREW (+10.0%) and NB (+9.9%) led the gainers, while INTENEGINS (-9.5%) and NSLTECH (-8.9%) recorded the highest losses of the day.
CURRENCY
The official FX rate was unchanged at NGN1,600.00/USD.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 509bps to 27.0% following inflows from NTB repayments (NGN6.72 billion).
The Treasury bills secondary market traded with bearish sentiments, as the average yield expanded by 14bps to 21.0%. Across the curve, the average yield declined at the short (-20bps) end, driven by demand for the 79DTM (-91bps) bill, while it expanded at the mid (+16bps) and long (+20bps) segments following selloffs of the 135DTM (+79bps) and 198DTM (+215bps) bills, respectively. Conversely, the average yield declined by 11bps to 28.2% in the OMO segment.
Proceedings in the FGN bond secondary market were quiet, albeit with a bullish undertone, as the average yield declined by 1bp to 18.7%. Across the benchmark curve, the average yield contracted at the short (-2bps) and mid (-2bps) segments, driven by interests in JUL-2030 (-9bps) and FEB-2031 (-14bps) bonds, respectively. However, the average yield remained unchanged at the long end.
