April 12, 2022/Cordros Report
EQUITIES
The Nigerian equities market extended yesterday’s positive trading, following sustained interest in MTNN (+1.3%) and ZENITHBANK (+5.8%) stocks. Precisely, the All-Share Index edged up by 0.7% to 47,205.03 points. Consequently, the Month-to-Date and Year-to-Date returns increased to +0.5% and +10.5%, respectively.
The total volume of trades increased by 9.3% to 245.42 million units, valued at NGN4.58 billion, and exchanged in 5,832 deals. GTCO was the most traded stock by volume at 39.09 million units, while SEPLAT was the most traded stock by value at NGN984.84 million.
Performance across sectors was broadly positive, as gains in the Banking (+2.8%), Consumer Goods (+1.9%), Oil and Gas (+1.7%), and Industrial Goods (+0.1%) indices reflected the overall market’s performance. The Insurance (-0.9%) index was the sole loser.
As measured by market breadth, market sentiment was positive (2.0x), as 30 tickers gained relative to 15 losers. CAP (+10.0%) and NEIMETH (+9.9%) topped the gainers’ list, while ACADEMY (-10.0%) and CAVERTON (-9.9%) recorded the most significant losses of the day.
CURRENCY
The naira appreciated by 0.1% to NGN416.63/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 263bps to 5.6%, following the inflow from OMO maturities (NGN48.47 billion).
At the NTB segment of the treasury bills secondary market, trading was mixed as market participants stayed on the sidelines in anticipation of Wednesday’s auction results. Thus, the average yield stayed flat at 3.3%. Similarly, the average yield was unchanged at 3.6% in the OMO segment.
Proceedings at the Treasury bond secondary market were mixed, albeit with a bullish bias, as the average yield pared by 1bp to 10.9%. Across the benchmark curve, the average yield pared at the short (-1bp) and long (-1bp) ends as investors demanded the APR-2023 (-2bps) and APR-2037 (-11bps) bonds, respectively. Conversely, the average yield was flat at the mid segment.
