Nigerian stock index sheds 0.35%
Negative sentiments persisted in the local bourse, as profit-taking in GUINNESS (-9.9%) dragged the All-Share Index (ASI) lower by 0.3% to 38,601.83 points. Accordingly, Month-to-Date and Year-to-Date losses increased to -1.1% and -4.1%, respectively.
The total volume of trades increased by 7.6% to 208.81 million units, valued at NGN2.91 million, and exchanged in 4,013 deals. FIDELITYBK was the most traded stock by volume at 38.56 million units, while GUARANTY was the most traded stock by value at NGN951.30 million.
Analysing by sectors, the Consumer Goods (-0.4%), Oil & Gas (-0.2%), and Industrial Goods (-0.1%) indices recorded losses, while the Insurance (+0.6%) index gained. The Banking index closed flat.
As measured by market breadth, market sentiment remained negative (0.8x), as 18 tickers declined relative to 14 gainers. GUINNESS (-9.9%) and TRIPPLEG (-9.7%) topped the losers’ list, while NAHCO (+7.4%) and STERLNBANK (+7.1%) recorded the most significant gains of the day.
Currency
The naira depreciated at the I&E window by 0.3% to NGN411.00/USD but stayed flat at NGN482.00/USD in the parallel market.
Money Market and Fixed Income
The overnight lending rate expanded by 50bps to 13.0%, as funding pressures outweighed inflows from OMO Maturities (NGN20.00 billion).
Activity in the NTB secondary market was bearish, as the average yield expanded by 6bps to 4.5%. Across the curve, the average yield was flat at the short and mid segments but expanded at the long (+13bps) end, as market participants sold off the 352DTM (+128bps) bill. Elsewhere, the OMO segment’s average yield closed flat at 6.8%.
Trading in the Treasury bond secondary market remained bearish, as the average yield expanded by 45bps to 10.7%. Across the benchmark curve, average yield expanded at the short (+98bps), mid (+1bp) and long (+25bps) segments, following sell-offs of the APR-2023 (+336bps), JUL-2030 (+3bps) and MAR-2050 (+143bps) bonds, respectively.
