TUE, JUN 16 2020-theG&BJournal-The domestic bourse continued its negative trend from yesterday, due to significant sell-offs of MTNN (-0.9%) and FLOURMILL (-6.7%) despite the gain in large-cap BUACEMENT (+1.6%). Precisely, the All-Share Index declined by 0.1% to 24,930.88 points. Accordingly, the Month-to-Date and Year-to-Date losses increased to -1.3% and -7.1%, respectively.
The total volume of trades decreased by 15.7% to 200.39 million units, valued at NGN1.59 billion and exchanged in 4,194 deals. FBNH was the most traded stock by volume at 26.95 million units, while ZENITHBANK was the most traded stock by value at NGN368.47 million.
Performance across sectors was negative, as all sectors, save the Industrial Goods (+1.0%) index, recorded declines. The Insurance (-2.1%) index led the declines, with the Oil and Gas (-0.6%), Consumer Goods (-0.2%) and Banking (-0.1%) indices following suit.
Market sentiment, as measured by market breadth, was negative (0.5x), as 22 tickers declined, relative to 12 gainers. NEIMETH (-9.9%) and PRESTIGE (-9.5%) were the top losers of the day, while FIDSON (+10.0%) and CAVERTON (+7.4%) recorded the largest gains.
Currency
The naira strengthened at the I&E window by 0.1% to NGN386.00/USD, while it weakened by 0.4% to NGN452.00/USD at the parallel market.
Money Market & Fixed Income
The overnight lending rate expanded by 16bps to 7.1%, in the absence of significant inflows into the system.
The NTB secondary market traded on a mixed note, as average yield closed flat at 3.4%. This is as market participants shifted their focus to tomorrow’s NTB PMA. Elsewhere, average yield in the OMO secondary market pared by 3bps to 4.9%.
Trading in the Treasury bond secondary market was bullish, as average yield contracted by 7bps to 9.9%. Across the benchmark curve, yields contracted at the short (-8bps) and mid (-17bps) segments, due to demand for the MAR-2025 (-55bps) and APR-2029 (-53bps) bonds, respectively, while they expanded slightly at the long (+1bp) end, as market players sold off the MAR-2050 (+15bps) bond.-With Cordros Research
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