December 5, 2022/Cordros Report
EQUITIES
Activities in the domestic equities carried on last week’s bullish performance, as bargain-hunting in BUACEMENT (+3.9%) drove a 0.2% increase in the All-Share Index to 48,270.23 points. Accordingly, the Month-to-Date and Year-to-Date returns increased to +1.3% and +13.0%, respectively.
The total volume of trades increased by 303.6% to 645.03 million units, valued at NGN4.19 billion, and exchanged in 3,486 deals. UPDCREIT was the most traded stock by volume and value at 460.71 million units and NGN1.61 billion, respectively.
On sectoral performance, the Industrial Goods (+1.7%), Insurance (+1.1%), Consumer Goods (+0.6%), and Oil & Gas (+0.6%) indices gained, while the Banking (-1.3%) index was the sole loser of the day.
As measured by market breadth, market sentiment was positive (1.1x) as 17 tickers gained relative to 16 losers. GUINNESS (+10.0%) and ETERNA (+8.8%) topped the gainers’ list, while GEREGU (-9.9%) and SCOA (-9.4%) recorded the most significant losses of the day.
CURRENCY
The naira was flat at NGN445.33/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 25bps to 12.8%, as system liquidity settled at a net long position (NGN189.63 billion).
Activities in the Treasury bills secondary market were mixed, albeit with a bullish tilt, as the average yield pared by 1bp to 11.0%. Across the curve, the average yield contracted at the short (-1bp), mid (-1bp) and long (-1bp) segments following mild interests in the 84DTM (-1bp), 175DTM (-1bp), and 329DTM (-2bps) bills, respectively. Similarly, the average yield contracted slightly by 1bp to 10.1% in the OMO segment.
Trading in the FGN bond secondary market was bearish, as the average yield expanded by 3bps to 14.3%. Across the benchmark curve, the average yield expanded at the short (+8bps) end, due to the selloff of the APR-2023 (+76bps) bond but closed flat at the mid and long segments.
