THUR, MAY. 11 2023-theGBJournal |Except for the NGX Exchange, the treausry bills and the FGN bond secondary markets traded on bullish Thursday. The local currency, the Naira also made some gaines against the US dollar.
For the second consecutive session at the NGX Exchange, stocks dipped as the benchmark Index closed 0.09% weaker to close at 52,161.24 points.
The market’s weak performance was driven by losses in Tier 1 banking names, ZENITHBANK (-2.05%), GTCO (-2.44%), and ACCESSCORP (-3.77%).
The loss puts the index on track for a weekly loss. As a result, the ASI’s year-to-date (YTD) return fell to 1.78%, while the market capitalization shed N26.04bn to close at N28.40trn.
Analysis of today’s market activities showed trade turnover settled lower relative to the previous session, with the value of transactions down by 12.04%.
A total of 477.37m shares valued at N5.24bn were exchanged in 5,539 deals. For the fifth consecutive session, ACCESSCORP (-3.77%) led volume and value charts with 169.32m units traded in deals worth N1.74bn.
Market breadth closed negative at a 1.20-to-1 ratio with declining issues outnumbering advancing ones. FCMB (-5.66%) topped seventeen (17) others on the laggard’s table, while ARDOVA (+10.00%) led fourteen (14) others on the leader’s log.
The naira appreciated by 0.1% to N462.73/USD at the I&E window.
The overnight lending rate was flat at 11.4%, as the system liquidity closed in a net long position (N756.77 billion).
Trading in the Nigerian Treasury bills secondary market was bullish, as the average yield contracted by 59bps to 6.7%. Across the curve, the average yield closed flat at the short end but dipped at the mid (-29bps) and long (-78bps) segments as market participants demanded the 119DTM (-85bps) and 287DTM (-205bps) bills, respectively.
Similarly, activities in the FGN bond secondary market were bullish, as the average yield declined by 6bps to 14.0%. Across the benchmark curve, the average yield contracted at the short (-19bps) end following buying interest in the MAR-2024 (-74bps) bond. Conversely, the average yield closed flat at the mid and long segments.
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