July 26, 2022/Cordros Report
EQUITIES
The Nigerian equities market sustained yesterday’s bearish sentiments as sell-offs of MTNN (-9.6%) stocks drove today’s loss. Thus, the All-Share Index fell by 1.9% to 50,442.37 points. Accordingly, the Month-to-Date and Year-to-Date returns printed -2.7% and +18.1%, respectively.
The total volume traded increased by 58.0% to 156.17 million units, valued at NGN2.94 billion, and exchanged in 4,618 deals. FLOURMILL was the most traded stock by volume and value at 19.32 million units and NGN618.05 million, respectively.
Sectoral performance was broadly negative, as the Banking (-1.9%), Insurance (-1.7%), Consumer Goods (-1.3%) and Oil & Gas (-0.5%) indices mirrored the general market sentiment, while the Industrial Goods index closed flat.
As measured by market breadth, market sentiment was negative (0.1x) as 35 tickers lost relative to 3 gainers. TRANSEXPR (-10.0%) and INTBREW (-9.9%) recorded the highest losses of the day, while LIVESTOCK (+1.6%) and FBNH (+1.4%) topped the gainers’ list.
CURRENCY
The naira depreciated by 0.9% to NGN431.00/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate remained flat at 15.0%, in the absence of inflows into the system following the tight system liquidity.
Trading in the Treasury bills secondary market was quiet, as the average yield was unchanged at 7.2%. Similarly, the average yield was unchanged at 8.9% in the OMO segment.
The Treasury bond secondary market traded on a mixed note, albeit with a bearish tilt, as the average yield expanded slightly by 1bps to 11.8%. Across the benchmark curve, the average yield was flat at short and mid segments, but expanded at the long (+1bp) end as investors sold off the MAR-2036 (+10bps) bond.
