October 28, 2021/Cordros Report
EQUITIES
The Nigerian equities market snapped yesterday’s loss, as the All-Share Index notched a 0.4% gain to close at 41,961.14 points. The performance was supported by investors’ interests in MTNN (+0.9%) and NB (+6.4%). Consequently, Month-to-Date and Year-to-Date gains increased to +4.3% and +4.2%, respectively.
The total volume traded increased by 96.4% to 558.89 million units, valued at NGN4.40 billion, and exchanged in 4,683 deals. FBNH was the most traded stock by volume and value at 162.61 million and NGN1.87 billion, respectively.
Analysing by sectors, the Consumer Goods (+1.5%), Banking (+0.7%), Oil & Gas (+0.2%) and Industrial Goods (+0.1%) indices recorded gains while the Insurance (-0.2%) index declined.
As measured by market breadth, market sentiment was positive (1.7x), as 20 tickers gained, relative to 12 losers. CADBURY (+10.0%) and GUINNESS (+10.0%) recorded the most significant gains of the day, while MANSARD (-6.0%) and COURTVILLE (-4.4%) 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 expanded by 10bps to 15.3% following outflows for the net NTB issuance (NGN85.00 billion).
The NTB secondary market closed flat, as the average yield was unchanged at 5.5%. Similarly, the average yield at the OMO segment closed flat at 6.4%.
Trading in the Treasury bond secondary market was bullish, as the average yield contracted by 13bps to 11.2%. Across the benchmark curve, the average yield declined at the short (-37bps) and long (-2bps) ends following demand for the APR-2023 (-93bps) and MAR-2036 (-6bps) bonds, respectively but remained unchanged at the mid-segment.
