TUE 23 MARCH, 2021-theGBJournal-Negative sentiments resurfaced in the local bourse today, as the All-Share Index declined by 0.1% to 38,704.97 points. The ASI was dragged by profit-taking on ZENITHBANK (-2.2%), ETI (-5.9%) and FLOURMILL (-2.4%) stocks. Accordingly, Month-to-Date and Year-to-Date losses increased to -2.8% and -3.9%, respectively.
The total volume of trades increased by 45.9% to 404.53 million units, valued at NGN5.86 billion and exchanged in 3,838 deals. DANGSUGAR was the most traded stock by volume and value at 107.08 million units and NGN1.80 billion, respectively.
Analysing by sectors, the Insurance (+0.6%), Oil & Gas (+0.1%), and Consumer Goods (+0.1%) indices recorded gains, while the Banking (-0.7%) index declined. The Industrial Goods index closed flat.
As measured by market breadth, market sentiment was neutral (1.0x), as an equal number of tickers (19) recorded gains and declines. WAPIC (+10.0%) and CAP (+10.0%) recorded the largest gains of the day, while LIVESTOCK (-9.5%) and CHAMS (-8.7%) topped the losers’ list.
The naira appreciated at the I&E window by 0.1% to NGN409.80/USD but stayed flat at NGN486.00/USD in the parallel market.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 275bps to 12.0%, following inflows from FGN bond coupon payments (NGN18.02 billion) and OMO maturities (NGN50.00 billion).
Trading in the NTB secondary market was bearish, as the average yield expanded by 6bps to 3.5%. Across the curve, average yield expanded at the short (+53bps) end as market participants sold-off the 23-DTM (+140bps) bill but contracted at the mid (-39bps) segment as investors bought up the 177-DTM (-57bps) bill; the long end was flat. Elsewhere, average yield contracted slightly at the OMO segment by 3bps to 6.4%.
Trading in the Treasury bond secondary market was mixed, as the average yield pared by 1bp to 9.4%. Across the benchmark curve, average yield contracted at the short (-5bps) end following demand for the JAN-2022 (-17bps) bond but expanded at the long (+1bp) end following sell-off of the JUL-2045 (+9bps) bond. The average yield was flat at the mid-segment.-With Cordros Research