November 22, 2021/Cordros Report
EQUITIES
Trading at the domestic bourse began the week positively, driven by investors’ demand for FBNH (+6.5%) and ZENITHBANK (+1.3%) shares. Thus, the All-Share Index increased by 0.1% to 43,260.13 points. Consequently, the Month-to-Date and Year-to-Date gains increased to +2.9% and +7.4%, respectively.
The total volume of trades increased by 1103.9% to 2.40 billion units, valued at NGN16.45 billion, and exchanged in 4,811 deals. OANDO was the most traded stock by volume and value at 1.97 billion units and NGN11.83 billion, respectively.
Sectoral performance was mixed as the Oil & Gas (+1.3%), Insurance (+0.9%), and Banking (+0.8%) indices recorded gains, while the Industrial Goods (-0.1%) index declined. The Consumer Goods index closed flat.
As measured by market breadth, market sentiment was positive (1.4x) as 18 tickers gained relative to 13 losers. HONYFLOUR (+9.7%) and NEM (+7.9%) topped the gainers’ list, while FTNCOCOA (-9.1%) and UNIVINSURE (-4.8%) recorded the most significant losses of the day.
CURRENCY
The naira depreciated by 0.2% to NGN415.07/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 300bps to 17.0% in the absence of any significant funding pressures on the system.
The NTB secondary market was quiet, as the average yield was flat at 5.1%. Similarly, the average yield was flat at 5.5% in the OMO segment.
Trading in the Treasury bond secondary market was also quiet, as the average yield was flat at 11.2%. Across the benchmark curve, the average yield contracted slightly at the short (-1bp) end following demand for the MAR-2024 (-1bp) bond; the mid and long segments closed flat.
