October 26, 2021/Cordros Report
EQUITIES
Mixed sentiments dominated trading in the Nigerian equities market for most of the day, following profit-taking activities in NB (-2.8%) that offset interests in its counterpart – INTBREW (+9.3%). Thus, the All-Share Index was unchanged at 41,814.94 points. Accordingly, Month-to-Date and Year-to-Date returns were flat at +4.0% and +3.8%, respectively.
The total volume of trades declined by 47.6% to 353.23 million units, valued at NGN5.57 billion, and exchanged in 5,322 deals. FBNH was the most traded stock by volume and value at 73.06 million units and NGN906.75 million, respectively.
On sectors, the Insurance (+0.5%), Banking (+0.2%) and Industrial Goods (+0.1%) indices recorded gains while the Oil & Gas (-0.4%) index declined. The Consumer Goods index closed flat.
As measured by market breadth, market sentiment was mixed (1.0x), as an equal number (21) of tickers recorded gains and losses. UNIVINSURE (+10.0%) and UPL (+10.0%) recorded the highest gains of the day, while ABCTRANS (-8.8%) and FTNCOCOA (-6.3%) topped the losers’ list.
CURRENCY
The naira was flat at NGN415.10/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 75bps to 12.3%, following inflows from OMO maturities (NGN93.00 billion).
The NTB secondary market closed with mixed sentiments albeit with a bullish tilt, as the average yield pared by 3bps to 5.5%. Across the benchmark curve, average yield was unchanged at the short and long ends but contracted at the mid (-9bps) segment due to investors’ demand for the 184DTM (-52bps) bill. Similarly, the average yield at the OMO segment declined by 11bps to 6.4%.
Trading in the Treasury bond secondary market was bearish, as the average yield expanded by 9bps to 11.3%. Across the benchmark curve, average yield expanded at the short (+29bps) end as investors sold off the APR-2023 (+73bps) bond but moderated at the long (-1bp) end following demand for the MAR-2050 (-6bps) bond; the mid-segment remained unchanged.
