January 26, 2022/Cordros Report
EQUITIES
The domestic bourse sustained its positive momentum from yesterday’s session, as the All-Share index advanced by 1.3% to 46,529.99 points. Today’s performance was supported by foreign investors’ demand for AIRTELAFRI (+10.0%). Consequently, the Year-to-Date return increased to +8.9%.
The total volume traded increased by 32.8% to 329.00 million units, valued at NGN4.82 billion, and exchanged in 4,219 deals. MULTIVERSE was the most traded stock by volume at 57.60 million units, while MTNN was the most traded stock by value at NGN995.27 million.
Across sectors, the Banking (+1.3%) index was the sole gainer, while the Industrial Goods (-1.9%), Insurance (-0.6%), Oil & Gas (-0.6%), and Consumer Goods (-0.4%) indices declined.
As measured by market breadth, market sentiment was positive (1.1x) as 19 tickers gained relative to 17 losers. AIRTELAFRI (+10.0%) and ETI (+9.6%) recorded the most significant gains of the day, while CADBURY (-9.5%) and PRESTIGE (-8.7%) topped the losers’ list.
CURRENCY
The naira was flat at NGN416.25/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate was unchanged at 1.9% in the absence of any significant funding pressures on the system.
Trading in the NTB secondary market was bullish, as the average yield settled lower by 7bps to 4.4%. Across the curve, the average yield contracted at the short (-9bps) and mid (-14bps) segments following demand for the 92DTM (-51bps) and 183DTM (-83bps) bills, respectively; the average yield was flat at the long end. Elsewhere, the average yield expanded by 25bps to 5.8% in the OMO segment.
The Treasury bond secondary market remained bullish, as the average yield declined by 10bps to 10.9%. Across the benchmark curve, the average yield contracted at the short (-25bps), mid (-4bps) and long (-3bps) segments as investors demanded the MAR-2025 (-73bps), MAR-2027 (-16bps), and MAR-2050 (-16bps) bonds, respectively.
