May 9, 2023/Cordros Report
EQUITIES
The Nigerian equities market traded marginally higher following bargain hunting in ETI (+7.1%) and FBNH (+2.2%). As a result, the All-Share Index advanced by 0.1% to 52,605.78 points. Accordingly, the Month-to-Date and Year-to-Date returns improved to +0.4% and +2.6%, respectively.
The total volume traded increased by 25.3% to 640.97 million units, valued at NGN7.13 billion, and exchanged in 5,684 deals. ACCESSCORP was the most traded stock by volume and value at 129.73 million units and NGN1.48 billion, respectively.
Sectoral performance was mixed, as the Oil & Gas (+1.1%) and Banking (+0.8%) indices recorded gains, while the Consumer Goods (-0.7%) and Insurance (-0.2%) indices declined. The Industrial Goods index closed flat.
As measured by market breadth, market sentiment was positive (1.7x), as 32 tickers gained relative to 19 losers. CONOIL (+10.0%) and MULTIVERSE (+10.0%) recorded the most significant gains of the day, while UNITYBNK (-9.3%) and JAPAULGOLD (-8.8%) topped the losers’ list.
CURRENCY
The naira appreciated by 0.1% to NGN462.25/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 1bp to 11.3%, in the absence of any significant inflow into the system.
Activities in the Treasury bills secondary market were bearish, as the average yield expanded by 31bps to 7.8%. Across the curve, the average yield was flat at the short and mid segments but expanded at the long (+28bps) end following the sell-off of the 352DTM (+10.10ppts) bill.
Trading in the FGN bond secondary market was mixed, albeit with a bullish tilt, as the average yield pared by 1bp to 14.0%. Across the benchmark curve, the average yield contracted at the short (-4bps) end as investors demanded the MAR-2024 (-20bps) bond. Conversely, the average yield remained unchanged at the mid and long segments.
