November 29, 2022/Cordros Report
EQUITIES
Bearish sentiments persisted in the Nigerian equities market as losses in NB (-7.7%) and STANBIC (-4.2%) caused a 0.2% decline in the benchmark index. Thus, the NGX ASI settled at 47,322.97 points. Accordingly, the Month-to-Date and Year-to-Date returns moderated to +8.0% and +10.8%, respectively.
The total volume traded declined by 56.7% to 120.95 million units, valued at NGN1.65 billion, and exchanged in 3,022 deals. TRANSCORP was the most traded stock by volume at 34.59 million units, while MTNN was the most traded stock by value at NGN354.28 million.
Analysing by sectors, the Banking (-2.1%) and Consumer Goods (-1.0%) indices declined, while the Insurance (+0.1%) and Industrial Goods (+0.1%) indices recorded gains. The Oil & Gas index closed flat.
As measured by market breadth, market sentiment was negative (0.9x) as 14 tickers lost relative to 13 gainers. NEIMETH (-8.0%) and NB (-7.7%) topped the losers’ list, while CHAMS (+9.1%) and WAPIC (+6.1%) recorded the highest gains of the day.
CURRENCY
The naira depreciated by 0.1% to NGN445.30/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate expanded by 163bps to 15.8%, despite the inflow from OMO maturities (NGN25.00 billion).
The NTB secondary market traded quietly, as the average yield was unchanged at 10.5%. However, across the curve, the average yield was flat at the short and mid segments, but pared at the long (-1bp) end following mild interest in the 331DTM (-1bp) bill. Elsewhere, the average yield was flat at 10.1% in the OMO segment.
Trading in the Treasury bonds secondary market was mixed, albeit with a bearish tilt, as the average yield contracted by 1bp to 14.4%. Across the benchmark curve, the average yield contracted at the short (-4bps) end as investors demanded the MAR-2027 (-23bps) bond but expanded at the long (+1bp) end following the selloff of the APR-2037 (+7bps) bond. Conversely, the average yield was flat at the mid segment.
