December 16, 2019/InvestmentOne Report
Please click to download the Market Report for Tuesday 17th December 2019
EQUITY:
· The Nigerian equities market closed negative today as NSE-ASI lost 0.13% to close at 26,660.44pts.
· However, in today’s trade, market breadth index was positive with 17 gainers against 11 losers.
· Today’s performance was mainly due to the losses recorded in UNITYBNK (-7.14%), CORNERST (-6.67%), INTBREW (-5.94%), NASCON (-5.36%) and NEIMETH (-5.00%) which offset the gains recorded in CHAMS (+10.00%), GUINNESS (+9.88%), AGLEVENT (+9.52%), PRESCO (+9.20%) and WEMABANK (+8.82%).
· Sector performances were broadly positive today as Banking (+0.62%), Oil & Gas (+0.15%), Consumer Goods (+0.01%) closed in green. However Industrial (-1.02%) closed in red.
· In terms of activity levels, total volume and total value increased by 95% and 133% compared to yesterday, as investors exchanged over 332million units of shares worth over N4.78billion. ACCESS (+2.04%) was the most actively traded stock with about 107million units of shares worth about N1.07billion.
· The equities market closed down today as result of the loss recorded in the Industrial sector. We still maintain our view that investors should take positions in quality names with a medium to long time investment horizon as prices remain attractive at current levels.
CURRENCY:
· At the IEFX window, while the Naira lost 0.03% and 0.10% against USD and EUR to close at N363.61 and N404.95 respectively, it gained 1.34% against GBP to close at N477.90.
· At the parallel market, while the Naira closed flat at N477 and N398 against GBP and EUR respectively, it gained 0.83% against USD closing at N360.
· Going forward, we expect the FX market to continue to see support from CBN’s intervention sales.
FIXED INCOME:
· Money market rates declined today as Open Buy Back and Overnight rates fell by 22bps and 25bps to close at 2.57% and 3.11% respectively. The decrease in rates may be due to refunds from FX auction conducted today which could have improved system liquidity.
· The bond market was mixed today as yields moved in different directions across most tenors. As such, while the yield on the 5yr benchmark bond declined by 3bps to close at 10.83%, the yield on the 10yr benchmark bond increased by 4bps to close at 11.49%. However, for the 7yr benchmark bond, the yield remained flat closing at 11.05%.
· In the near term, we expect market activity to be influenced by liquidity levels and foreign investor participation.
Below are key NSE statistics as at the end of trades:
Current | 26,660.44 | Mkt Cap (N’tr) | 12.87 | |
Previous | 26,695.18 | Vol. Traded (m) | 332 | |
Day Change | -0.13% | Vol. Day Chng. | 95% | |
WTD Return | 0.47% | Val. Traded (N’bn) | 4.78 | |
MTD Return | -1.27% | Val. Day Chng. | 133% | |
YTD Return | -15.18% | No. of Deals | 3,358 | |
YTD High | 32,715.20 | No. of Gainers | 17 | |
YTD Low | 26,188.24 | No. of Losers | 11 | |
52wk High | 32,715.20 | Top Sub Sect. (by Vol.) | BNK (78%) | |
52wk Low | 26,188.24 | Top Sub Sect. (by Val.) | BNK (76%) |
