April 20, 2021/Cordros Report

Equities

Positive sentiments persisted in the local bourse, as buying interests in bellwethers, MTNN (+1.0%) and ZENITHBANK (+2.8%) notched the All-Share Index higher by 0.4% to 39,015.58 points. Accordingly, the Month-to-Date and Year-to-Date losses moderated to -0.1% and -3.1%, respectively. 

The total volume of trades decreased by 33.4% to 339.02 million units, valued at NGN2.70 billion, and exchanged in 4,203 deals. FIDELITYBK was the most traded stock by volume at 125.26 million units, while GUARANTY was the most traded stock by value at NGN683.07 million. 

On sectors, the Banking (+1.7%), Insurance (+1.1%) and Consumer goods (+0.4%) indices recorded gains, the Oil & Gas (-0.5%) index declined, while the Industrial Goods index closed flat. 

As measured by market breadth, market sentiment was positive (2.0x), as 24 tickers gained, relative to 12 losers. PZ (+10.0%) and HONYFLOUR (+10.0%) recorded the most significant gains of the day, while ROYALEX (-10.0%) and PORTPAINT (-9.0%) topped the losers’ list. 

CURRENCY

The naira depreciated by 0.1% to NGN410.67/USD at the I&E window, and by 0.8% to NGN486.00/USD in the parallel market.

MONEY MARKET & FIXED INCOME

The overnight lending rate was flat at 12.5%, as the inflow from OMO maturities (NGN20.00 billion) matched the outflows for the day.
 
Trading in the NTB secondary market was quiet, as the average yield was flat at 4.5%. Similarly, average yield at the OMO segment was flat at 7.2%.
 
The Treasury bond secondary market traded with mixed sentiment, as investors anticipate renewed supply at tomorrow’s PMA. Thus, the average yield was flat at 11.3%. Across the benchmark curve, average yield was flat at the short end, but expanded at the mid (+7bps) and long (+1bp) segment following the sell-offs of the FEB-2028 (+27bps) and JUL-2034 (+5bps) bonds, respectively.

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