EQUITIES:
The Nigerian equities market closed the first trading session of the week in the green region, gaining 0.19%.
Similarly, in today’s trade market breadth index was positive with 16 gainers against 11 stocks that declined.
Today’s performance was driven by the gains in UNITYBNK (+9.09%), NEIMETH (+8.47%), MBENEFIT (+7.69%), CAVERTON (+7.61%), NEM (+5.42%), and HONYFLOUR(+2.13%) which more than offset losses in JOHNHOLT (-9.43%), GUINEAINS (-6.02%), AIICO (-5.66%) and PRESCO (-4.17%).
Sector performances were positive with Banking (+0.42%) emerging the best performer, followed by Consumer Goods (+0.09%) which also closed in green region. However, Oil & Gas and Industrial closed flat.
In terms of activity level, total volume and value decreased by 28% and 10% as investors exchanged 121million units of shares worth N1.34billion respectively. GUARANTY (+0.41%) was the most actively traded with 22million units of shares worth about N789million.
Despite the recent sell-off in the equities market in the previous weeks, we believe this presents decent entry opportunities in our quality names.
CURRENCY:
· At the IEFX window, while Naira shed 0.22% against USD to close at N364.61, it gained 0.27% and 0.33% against EUR and GBP to close at N415.91 and N473.43 respectively.
· In the parallel market, the Naira remained unchanged at N361/USD and NN478/GBP while it gained 0.48% against the EUR to close at N414.
· Going forward, we expect the FX market to continue to see support from CBN’s intervention sales.
FIXED INCOME:
· Money market rates declined today as the Overnight and Open Buy Back rates shed 1,192bps and 1,136bps to close at 10.58% and 9.50% respectively.
· The bond market was negative today as yields increased across most tenors. While the yield on the 7yr benchmark bond closed flat at 14.92%, the yields on the 5yr and 10yr benchmark bonds increased by 2bps and 8bps to close at 14.84% and 15.18% respectively.
· In the near term, we expect market activity to be influenced by liquidity levels and foreign investor participation.
Below are key NSE statistics as at the end of trades:
Current
32,444.96
Mkt Cap (N’tr)
11.84
Previous
32,383.15
Vol. Traded (m)
121
Day Change
0.19%
Vol. Day Chng.
-27%
WTD Return
0.19%
Val. Traded (N’bn)
1.34
MTD Return
-0.98%
Val. Day Chng.
-10%
YTD Return
-15.16%
No. of Deals
2,431
YTD High
45,092.83
No. of Gainers
16
YTD Low
32,022.23
No. of Losers
11
52wk High
45,092.83
Top Sub Sect. (by Vol.)
BNK (62%)
52wk Low
32,022.23
Top Sub Sect. (by Val.)
BNK (80%)
NASD Pricelist was not available as at the time of writing this report.
