March 6, 2017/InvestmentOne Research
Click here to download Daily Markets Report for Monday March 6, 2017
EQUITIES:
- Following the sell-off in DANGCEM (-560pts), which more than offset the gains in NESTLE (+145pts), NB (+27pts), ZENITHBANK (+17pts) and GUARANTY (+14pts), the equities market closed down -1.72% to end today’s session at 24,581.99pts.
- Furthermore, market breadth index closed negative at -0.06x as 21 stocks declined compared with 15 stocks that gained. AFRIPRUD (-11.11%) was the market’s worst performer while NESTLE (+9.96%) led the gainers’ chart.
- As a result of the decline in DANGCEM (-7.03%), the industrial sector lost -3.64%. However, the Consumer Goods (+2.13%), Oil & Gas (+0.67%) and Banking (+0.20%) sectors closed in the green.
- Investors exchanged 128m units of shares in 2,978 deals worth N1.47bn, representing a -53% and -57% decrease in total volume and total value respectively against last Friday. ZENITHBANK (+1.05%) was the most actively traded stock with c.24m units of shares accounting for 18.75% of total volume.
- While the NSE-ASI may see some level of support from earnings releases going forward, we expect the market to remain volatile given the lack of positive news flow to support the momentum. With this said, we however advise investors to lengthen their horizon and gradually build positions in quality names for a medium to long term horizon.
CURRENCY:
- The Naira weakened by -0.08% against the USD at the interbank market to berth at N305.50. It also recorded a marginal loss of -0.30% and -0.32% against the GBP and the EUR to end the session at N385 and N333 levels respectively.
- At the parallel market, the NGN appreciated by +1.1% against the USD to settle at N460. It however shed -3.2% against the GBP to close at N560 while it closed flat against the EUR to end the session at N480.
- We expect pressure on the NGN to persist as supply by the CBN would probably be inadequate to offset demand across sectors of the economy.
FIXED INCOME:
- Though both OBB and OVN declined to 16% and 15% levels as system liquidity ended today’s session at c.N101b positive, other money market rates inched up slight across tenors. The 1month, 3month and 6month NIBOR rates gained 149bps, 16bps and 10bps to settle at 16.13%, 19.48% and 22.96% respectively.
- The bond market was largely bullish today, as yields contracted on most of the tenor with the exception of JAN 2022 (5yr benchmark bond)which closed flat at 16.01%. Yields on both the 7yr and 10yr benchmark bonds contracted by 43bps and 12bps to settle at 15.82% and 16.26% respectively.
- We expect activity in subsequent session to be influenced by liquidity level.
Below are key NSE statistics as at the end of trades:
Current | 24,581.99 | Mkt Cap (N’tr) | 8.51 | |
Previous | 25,012.08 | Vol. Traded (m) | 128 | |
Day Change | -1.72% | Vol. Day Chng. | -53% | |
WTD Return | -1.72% | Val. Traded (N’bn) | 1.47 | |
MTD Return | -2.95% | Val. Day Chng. | -57% | |
YTD Return | -8.53% | No. of Deals | 2,978 | |
YTD High | 26,616.89 | No. of Gainers | 15 | |
YTD Low | 24,581.99 | No. of Losers | 21 | |
52wk High | 31,071.25 | Top Sub Sect. (by Vol.) | BNK (47%) | |
52wk Low | 22,456.32 | Top Sub Sect. (by Val.) | BNK (42%) |
Please find below the NASD OTC pricelist for Monday 6th of March 2017.
Company | Symbol | Prev Close | Close Price | Chg | % Chng | Deals | Volume | Value |
Afriland Properties Plc | SDAFRILAND | 3.70 | 3.70 | 0.00 | 0.00 | 1 | 100 | 370.00 |
Central Securities Clearing System (CSCS) Plc | SDCSCSPLC | 5.85 | 5.70 | -0.15 | -2.56 | 1 | 1,000,000 | 5,700,000.00 |
Friesland Campina WAMCO Nigeria Plc | SDFCWAMCO | 135.00 | 135.00 | 0.00 | 0.00 | 7 | 80,250 | 10,673,500.00 |
Niger Delta Exploration and Production Plc | SDNDEP | 110.00 | 110.00 | 0.00 | 0.00 | 1 | 100 | 12,100.00 |
