July 1, 2021/Cordros Report
EQUITIES
The Nigerian equities market traded with mixed sentiments, as interest in ZENITHBANK (+0.6%) offset losses in OANDO (-8.51%) and DANGSUGAR (-0.8%). Thus, the All-Share Index traded flat at 37,898.56 points, with Month-to-Date return printing 0.0%, while the Year-to-Date loss was unchanged at -5.9%.
The total volume of trades decreased by 3.9% to 205.45 million units, valued at NGN2.73 million, and exchanged in 3,563 deals. GTCO was the most traded stock by volume and value at 41.84 million units and NGN1.25billion, respectively.
On sectors, the Banking (+0.4%) and Insurance (+0.4%) indices gained while the Oil & Gas (-1.3%) index declined.On the other hand, the Consumer Goods and Industrial Goods indices closed flat.
As measured by market breadth, market sentiment was positive (1.4x), as 20 tickers advanced relative to 14 losers. TRIPPLEG (+10.0%) and IKEJAHOTEL (+9.8%) topped the gainer’s list, while ROYALEX (-9.8%) and OANDO (-8.5%) recorded the most significant losses of the day.
CURRENCY
The naira appreciated at the I&E window by 0.2% to NGN410.70/USD but stayed flat at NGN503.00/USD at the parallel market.
MONEY MARKET AND FIXED INCOME
The overnight lending rate was flat at 12.0% in the absence of any significant movement in system liquidity.
The NTB secondary market closed flat, as the average yield was flat at 6.6%. Elsewhere, the average yield at the OMO segment pared by 1bp to 9.9%.
Trading in the Treasury bond secondary market was bullish, as the average yield contracted by 11bps to 11.6%. Across the benchmark curve, average yield contracted at the short (-1bp), mid (-26bps), and long (-11bps) segments due to demand for the JAN-2022 (-3bps), JUL-2030 (-44bps) and JUL-2034 (-55bps) bonds respectively.
