…Overnight lending rate expanded by 27bps to 3.7%
…Treasury bills secondary market were bearish
WED, SEPT. 06 2023-theGBJournal |The domestic equities market reversed the week’s gains as the late profit-taking activities across DANGSUGAR (-4.8%) and GTCO (-1.8%) stocks pushed the NGX ASI 0.1% lower to 68,286.28 points.
As a result, the Month-to-Date and Year-to-Date returns moderated to +2.6% and +33.2%, respectively.
The total volume traded declined by 32.1% to 378.65 million units, valued at NGN5.48 billion, and exchanged in 7,671 deals. OANDO was the most traded stock by volume at 83.53 million units, while DANGCEM was the most traded stock by value at NGN708.71 million.
Analysing by sectors, the Insurance (+0.4%), Banking (+0.3%), and Industrial Goods (+0.2%) indices advanced, while the Oil & Gas index closed flat. The Consumer Goods (-0.8%) index was the sole loser of the day.
As measured by market breadth, market sentiment was positive (1.6x), as 32 tickers gained relative to 20 losers. GUINEAINS (+10.0%) and BETAGLAS (+9.9%) topped the gainers’ list, while VITAFOAM (-10.0%) and VERITASKAP (-7.7%) recorded the most significant losses of the day.
The naira depreciated by 3.5% to N771.59/USD at the I&E window.
The overnight lending rate expanded by 27bps to 3.7%, in the absence of any significant outflows from the system.
Proceedings in the Treasury bills secondary market were bearish, as the average yield expanded by 33bps to 7.9%. Across the curve, the average yield was flat at the short and mid segments but expanded at the long (+22bps) end following sell pressures on the 351DTM (+11.68ppts) bill. Elsewhere, the average yield closed flat at 13.3% in the OMO segment.
Trading activities in the Treasury bonds secondary market were in a lull as the average yield was unchanged at 14.1%.
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