March 24, 2022/Cordros Report
EQUITIES
Negative trading sentiments resurfaced in the domestic equities market, as profit-taking activities in GTCO (-1.3%) led the All-Share Index to close 0.4% lower at 46,961.62 points. Consequently, the Month-to-Date and Year-to-Date returns moderated to -0.9% and +9.9%, respectively.
The total volume of trades declined by 19.7% to 214.70 million units, valued at NGN2.63 billion, and exchanged in 4,003 deals. FIDELITYBK was the most traded stock by volume at 48.26 million units, while GTCO was the most traded stock by value at NGN606.92 million.
Performance across sectors was mixed, as the Oil & Gas (+0.9%) and Insurance (+0.7%) indices recorded gains, while the Banking (-0.1%) and Consumer Goods (-0.1%) indices declined. The Industrial Goods index closed flat.
As measured by market breadth, market sentiment was positive (1.1x) as 16 tickers gained relative to 14 losers. VERITASKAP (+9.5%) and FCMB (+7.5%) topped the gainers’ list, while RTBRISCOE (-9.7%) and CHIPLC (-9.1%) recorded the most significant losses of the day.
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 17bps to 12.5% in the absence of any significant funding pressure on the system.
Trading in Treasury bills secondary market was lull, as the average yield remained unchanged at 3.2%. Similarly, the average yield in the OMO segment stayed flat at 3.6%.
Bearish sentiments dominated the treasury bond secondary market, as the average yield expanded by 7bps to 10.6%. Across the benchmark curve, the average yield expanded at the short (+8bps) and mid (+20bps) segments as investors sold off the MAR-2025 (+32bps) and FEB-2028 (+25bps) bonds, respectively, but was flat at the long end.
