TUE, 04 OCT, 2022-theGBJournal| The domestic equities market started the week and month’s trading with bearish sentiments, as investors took profits off ZENITHBANK (-3.5%). Thus, the All-Share Index settled lower by 0.3% at 48,879.74 points. Consequently, the Year-to-Date return settled at +14.4%.
The total volume traded declined by 51.4% to 173.46 million units, valued at NGN2.39 billion, and exchanged in 4,926 deals. GTCO was the most traded stock by volume and value at 71.19 million units and NGN1.26 billion, respectively.
Analysing by sectors, the Insurance (+0.4%), and Oil & Gas (+0.1%) indices advanced, while the Banking (-2.6%) and Consumer Goods (-0.4%) indices closed in the red. The Industrial Goods index closed flat.
As measured by market breadth, market sentiment was negative (1.1x) as 19 tickers lost relative to 9 gainers. INTBREW (-9.1%) and REDSTAREX (-7.8%) topped the losers’ list, while MULTIVERSE (+9.8%) and RTBRISCOE (+8.8%) recorded the most significant gains of the day.
The Treasury bills secondary market closed on a bearish note, as the average yield expanded by 8bps to 7.2%. Across the curve, the average yield expanded at the short (+33bps) end as participants sold off the 23DTM (+133bps) bill, but pared at mid (-1bp) and long (-1bp) segments due to demand for the 163DTM (-1bp) and 345DTM (-1bp) bills, respectively. Elsewhere, the average yield contracted by 1bp to 10.3% in the OMO segment.
The Treasury bond secondary market traded with bearish sentiments, as the average yield expanded by 14bps to 13.4%. Across the benchmark curve, the average yield expanded at the short (+30bps), and long (+6bps) ends due to selloffs of the MAR-2024 (+148bps), and MAR-2036 (+43bps) bonds, respectively; but closed flat at the mid segment.
The naira depreciated by 0.1% to NGN437.25/USD at the I&E window.
The overnight lending rate expanded by 75bps to 16.8%, in the absence of any significant funding pressure on the system.
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