February 22, 2022/Cordros Report
EQUITIES
Trading in the Nigerian equities market was moderately positive in today’s session, as the All-Share Index scored a 3bps gain to close at 47,246.90 points. Precisely, investors’ interest in GTCO (+1.3%) supported market performance amid sell-offs of GUINNESS (-5.3%). Consequently, the Month-to-Date and Year-to-Date returns remained at +1.3% and +10.6%, respectively.
The total volume traded advanced by 0.1% to 421.82 million units, valued at NGN5.16 billion, and exchanged in 5,992 deals. UCAP was the most traded stock by volume at 66.10 million units, while ZENITHBANK was the most traded stock by value at NGN1.39 billion.
Analysing by sectors, the Insurance (-0.6%), Consumer Goods (-0.4%), and Banking (-0.1%) indices posted losses, while the Industrial Goods and Oil & Gas indices closed flat.
As measured by market breadth, market sentiment was positive (1.6x) as 29 tickers gained relative to 18 losers. NIGERINS (+10.0%) and LEARNAFRCA (+10.0%) recorded the most significant gains of the day, while ELLAHLAKES (-9.9%) and VERITASKAP (-8.0%) topped the losers’ list.
CURRENCY
The naira appreciated by 0.2% to NGN416.00/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 633bps to 6.3%, as the inflow from OMO maturities (NGN227.20 billion) improved overall system liquidity.
Trading in the NTB secondary market was quiet, as the average yield was unchanged at 4.2%. Similarly, the average yield was flat at 5.3% in the OMO segment.
Proceedings at the Treasury bond secondary market were bullish, as the average yield contracted by 13bps to 11.0%. Across the benchmark curve, the average yield expanded at the short (+1bp) end following investors’ sell-off of the MAR-2025 (+42bps) bond but contracted at the mid (-38bps) and long (-6bps) segments as market participants demanded the FEB-2028 (-42bps) and JUL-2034 (-34bps) bonds, respectively.
