July 3, 2023/Cordros Report
EQUITIES
The Nigerian equities market picked up from where it left off last week, closing higher on gains in MTNN (+1.7%), STANBIC (+9.3%), and ACCESSCORP (+9.9%). Thus, the All-Share Index advanced by 1.6% to close at 61,949.24 points, pushing the Year-to-Date return to +20.9%.
The total volume traded advanced by 20.8% to 1.21 billion units, valued at NGN14.04 billion, and exchanged in 12,128 deals. FCMB was the most traded stock by volume at 173.81 million units, while ACCESSCORP was the most traded stock by value at NGN2.38 billion.
Analysing by sectors, the Banking (+6.8%), Insurance (+1.8%), Oil & Gas (+1.5%), and Consumer Goods (+0.5%) indices recorded gains, while the Industrial Goods index closed flat.
As measured by market breadth, market sentiment was positive (4.8x), as 67 tickers gained relative to 14 losers. JAPAULGOLD (+10.0%) and LINKASSURE (+10.0%) recorded the most significant gains of the day, while TRIPPLEG (-9.9%) and CORNERST (-9.1%) topped the losers’ list.
CURRENCY
The naira appreciated by 3.7% to NGN741.50/USD at the I&E window.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 43bps to 1.6%, in the absence of any significant inflows into the system.
The NTB secondary market traded on a quiet note as the average yield closed flat at 6.3%.
Activities in the FGN bond secondary market were bullish, as the average yield contracted by 12bps to 13.0%. Across the benchmark curve, the average yield expanded at the short (+3bps) end as investors sold off the FEB-2028 (+19bps) bond; but contracted at the mid (-8bps) and long (-19bps) segments as investors demanded the APR-2029 (-16bps) and JAN-2042 (-110bps) bonds, respectively.
