September 14, 2021/Cordros Report
Mixed trading continued today in the local bourse as the All-Share Index was unchanged at 38,920.50 points. Consequently, the Month-to-Date and Year-to-Date losses settled at -0.8% and -3.4%, respectively.
The total volume of trades increased by 11.2% to 223.63 million units, valued at NGN1.86 billion, and exchanged in 3,304 deals. WEMABANK was the most traded stock by volume at 46.76 million units, while ACCESS was the most traded stock by value at NGN263.49 million.
Analysing by sectors, the Insurance (-0.9%), Oil & Gas (-0.4%), and Consumer Goods (-0.1%) indices recorded losses while the Industrial Goods (+0.1%) and Banking (+0.1%) indices posted gains.
As measured by market breadth, market sentiment was negative (0.6x), as 21 tickers lost, relative to 12 gainers. SOVRENINS (-7.4%) and UPL (-6.4%) recorded the most significant losses of the day, while ACADEMY (+8.3%) and COURTVILLE (+7.4%) topped the gainers’ list.
The naira appreciated by 0.2% to NGN412.08/USD at the I&E window but depreciated by 1.3% to NGN557.00/USD in the parallel market.
MONEY MARKET & FIXED INCOME
The overnight lending rate contracted by 25bps to 14.5% in the absence of any significant funding pressures on the system.
Trading in the NTB secondary market closed on a bullish note, as the average yield contracted by 9bps to 4.8%. Across the curve, the average yield contracted at the short (-30bps) and mid (-5bps) segments due to demand for the 16DTM (-36bps) and 121DTM (-13bps) bills but was flat at the long end. Similarly, the average yield at the OMO segment contracted by 14bps to 6.1%.
The Treasury bond secondary market was bearish, as the average yield expanded by 22bps to 11.3%. Across the benchmark curve, the average yield expanded at the short (+10bp), mid (+55bps), and long (+18bp) segments following demand for the MAR-2027 (+69bps), FEB-2028 (+60bps) and MAR-2050 (+52bps) bonds, respectively.