August 18, 2022/Cordros Report
EQUITIES
Bearish sentiments persisted in the Nigerian equities market following profit-taking activities in OKOMUOIL (-10.0%), BUACEMENT (-1.4%), and MTNN (-0.5%) stocks. Precisely, the All-Share Index dipped by 0.3% to 49,546.38 points. Consequently, the Month-to-Date and Year-to-Date returns settled at -1.6% and +16.0%, respectively.
The total volume traded increased by 14.1% to 146.99 million units, valued at NGN2.65 billion, and exchanged in 3,180 deals. FBNH was the most traded stock by volume at 38.97 million units, while MTNN was the most traded stock by value at NGN558.61 million.
On sectoral performance, the Insurance (-1.4%), Industrial Goods (-0.5%), Consumer Goods (-0.3%), and Oil & Gas (-0.1%) indices closed lower, while the Banking (+0.2%) index was the sole gainer of the day.
As measured by market breadth, market sentiment was negative (0.5x) as 23 tickers lost relative to 12 gainers. NEM (-10.0%) and OKOMUOIL (-10.0%) topped the losers’ list, while FTNCOCOA (+10.0%) and REGALINS (+8.7%) recorded the most significant gains of the day.
CURRENCY
The naira was flat at NGN429.38/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate remained unchanged at 15.0%, as system liquidity remained depressed closing in a net short position (NGN144.04 billion).
Trading in the Treasury bills secondary market was muted, as the average yield closed flat at 7.9%. Elsewhere, the average yield expanded by 7bps to 11.2% in the OMO segment.
Activities in the Treasury bond secondary market were bearish as the average yield expanded by 7bps to 12.7%. Across the benchmark curve, the average yield closed flat at the short and mid segments, but expanded at the long (+17bps) end as investors sold off the MAR-2050 (+35bps) bond.
