December 1, 2022/Cordros Report
EQUITIES
The Nigerian equities market traded marginally lower as a loss in MTNN (-1.6%) underpinned a 1bp decline in the All-Share Index to 47,656.64 points. Accordingly, the Year-to-Date return was unchanged at +11.6%.
The total volume traded increased by 61.6% to 172.90 million units, valued at NGN2.84 billion, and exchanged in 3,073 deals. FCMB was the most traded stock by volume at 49.80 million units, while MTNN was the most traded stock by value at NGN891.98 million.
Sectoral performance was mixed, as the Banking (+2.2%) and Consumer Goods (+0.8%) indices recorded gains, while the Insurance (-0.1%) and Oil & Gas (-0.1%) indices declined. The Industrial Goods index remained flat.
As measured by market breadth, market sentiment was mixed (1.0x), as an equal number of tickers (11) gained and lost. UPDCREIT(+9.1%) and NB (+7.1%) recorded the most significant gains of the day, while HONYFLOUR (-7.9%) and RTBRISCOE (-7.4%) topped the losers’ list.
CURRENCY
The naira depreciated by 0.1% to NGN445.83/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 125bps to 9.6%, in the absence of any significant inflow into the system.
Activities in the NTB secondary market were bearish, as the average yield expanded by 181bps to 11.0%. Across the curve, the average yield was flat at the short and mid segments but expanded at the long (+482bps) end following the selloff of the 343DTM (+14.8ppts) bill. Elsewhere, the average was unchanged at 10.1% in the OMO segment.
The Treasury bond secondary market traded with bullish sentiments, as the average yield contracted by 8bps to 14.3%. Across the benchmark curve, the average yield contracted at the short (-15bps) and long (-5bps) ends as investors demanded the MAR-2024 (-43bps) and MAR-2036 (-24bps) bonds, respectively. Conversely, the average yield was flat at the mid segment.
