EQUITIES
The Nigerian equities market commenced the week on a negative note as sell pressures on OANDO (-2.0%), GTCO (-0.6%) and FIDELITYBK (-2.0%) drove the All-Share Index lower by 0.2% to 105,799.17 points. Sequentially, the Month-to-Date and Year-to-Date returns moderated to -1.9% and +2.8%, respectively.
The total volume of trades declined by 36.4% to 477.51 million units, valued at NGN7.05 billion, and exchanged in 13,520 deals. JAIZBANK was the most traded stock by volume at 197.42 million units, while MTNN was the most traded stock by value at NGN1.30 billion.
Sectoral performance was broadly negative as the Insurance (-1.8%), Consumer Goods (-0.4%), Banking (-0.2%) and Oil & Gas (-0.2%) indices closed lower. The Industrial Goods index closed flat.
As measured by market breadth, market sentiment was negative (0.5x), as 34 tickers lost relative to 18 gainers. ETRANZACT (-10.0%) and SUNUASSUR (-9.9%) posted the most significant losses of the day, while ACADEMY (+9.9%) and NEIMETH (+8.4%) led the gainers.
CURRENCY
The official FX rate appreciated by 0.3% to NGN1,541.50/USD.
MONEY MARKET & FIXED INCOME
The overnight lending rate expanded by 3bps to 32.8% in the absence of any significant funding pressure on the system.
Proceedings in the NTB secondary market were bearish, as the average yield expanded by 11bps to 19.1%. Across the curve, the average yield contracted at the short (-3bps) and mid (-1bp) segments, driven by the demand for the 52DTM (-3bps) and 157DTM (-9bps) bills, respectively, but expanded at the long (+22bps) end due to the selloff of the 234DTM (+93bps) bill. In contrast, the average yield declined by 4bps to 22.4% in the OMO segment.
The Treasury bond secondary market traded on a bearish note, as the average yield expanded by 1bp to 18.3%. Across the benchmark curve, the average yield expanded at the short (+1bp) and mid (+2bps) segments due to sell pressures on the JUL-2030 (+5bps) and FEB-2031 (+7bps) bonds, respectively, but remained unchanged at the long end.
