August 15, 2022/Cordros Report
EQUITIES
The domestic equities market started the week’s trading with mixed sentiments as a loss in PRESCO (-10.0%) offset gains in MTNN (+0.5%) and ZENITHBANK (+2.1%). Thus, the All-Share Index closed flat at 49,657.33 points. Accordingly, the Month-to-Date loss and Year-to-Date gain settled at -1.4% and +16.3%, respectively.
The total volume traded declined by 71.9% to 210.84 million units, valued at NGN2.19 billion, and exchanged in 4,122 deals. ETRANZACT was the most traded stock by volume at 52.55 million units, while GTCO was the most traded stock by value at NGN315.92 million.
Sectoral Performance was mixed, as the Industrial Goods (+0.2%), and Banking (+0.2%) indices advanced, while the Consumer Goods (-0.6%) and Oil & Gas (-0.4%) indices declined. The Insurance index was flat.
As measured by market breadth, market sentiment was negative (0.8x), as 16 tickers lost relative to 12 gainers. PRESCO (-10.0%) and MULTIVERSE (-7.8%) topped the losers’ list, while NEIMETH (+9.3%), and UNITYBNK (+4.7%) recorded the most significant gains of the day.
CURRENCY
The naira depreciated by 0.1% to NGN430.00/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate expanded by 150bps to 14.50%, in the absence of any significant funding pressure on the system.
The NTB secondary market traded with mixed sentiments, albeit with a bullish tilt, as the average yield pared by 1bp to 7.9%. Across the curve, the average yield contracted at the short (-1bp) and mid (-1bp) segments following buying interests on the 24DTM (-1bp) and 101DTM (-1bp) bills, respectively; but closed flat at the long end. Similarly, the average yield contracted slightly by 1bp to 11.1% in the OMO segment.
The Treasury bond secondary market traded quietly as market participants anticipated the result of today’s bond PMA. Thus, the average yield was unchanged at 12.6%.
