The equities market reversed yesterday’s gains as investors took profits off DANGCEM (-8.5%). Consequently, the All-Share Index declined by 1.1% to 46,009.23 points. Accordingly, the Year-to-Date return moderated to +7.7%.

The total volume of trades declined by 15.1% to 279.44 million units, valued at NGN2.76 billion, and exchanged in 4,582 deals. UPDCREIT was the most traded stock by volume at 46.36 million units, while GTCO was the most traded stock by value at NGN409.66 million.

Analysing by sectors, the Industrial Goods (-3.3%), Insurance (-1.8%) and Oil & Gas (-0.5%) indices declined, while the Consumer Goods (+1.8%) and Banking (+1.1%) indices posted gains.

As measured by market breadth, market sentiment was positive (1.5x), as 26 tickers gained, relative to 17 losers. INTBREW (+10.0%) and GUINNESS (+10.0%) topped the gainer’s list, while NEM (-8.6%) and DANGCEM (-8.5%) recorded the most significant losses of the day. 

MONEY MARKET & FIXED INCOME

The overnight lending rate contracted by 85bps to 1.0%, as inflows from the maturing JAN-2022 bond (NGN605.31 billion) outweighed funding pressures for the net NTB issuance (NGN94.42 billion).

The NTB secondary market traded with mixed sentiments, albeit with bullish bias, as the average yield pared by 1bp to 4.4%. Across the benchmark curve, the average yield was unchanged at the short and mid segments but contracted at the long (-1bp) end following demand for the 301DTM (-11bps) bill. Similarly, the average yield at the OMO segment declined by 14bps to 5.6%.

Trading in the Treasury bond secondary market was bearish as the average yield expanded by 65bps to 11.5%. Across the benchmark cure, the average yield closed higher at the short (+144bps) end following the expiry of the short-dated JAN-2022 bond and also expanded at the mid (+12bps) and long (-1bp) segments as investors sold off the FEB-2028 (+19bps) and JUL-2034 (+5bps) bonds, respectively.