WED 05 MAY, 2021-theGBJournal- The domestic equities market extended its losses from yesterday’s session, as the All-Share Index declined by 0.9% to 39,456.64 points. This performance was primarily driven by losses in MTNN (-2.4%) and STANBIC (-10.0%). Consequently, Month-to-Date and Year-to-Date losses increased to -0.9% and -2.0%, respectively.
The total volume of trades decreased by 18.0% to 349.56 million units, valued at NGN3.50 billion, and exchanged in 4,554 deals. FBNH was the most traded stock by volume at 71.28 million units, while ZENITHBANK was the most traded by value at NGN544.35 million.
On sectors, performance was broadly negative as all indices in our coverage – Banking (-1.7%), Consumer Goods (-0.5%), Oil & Gas (-0.2%), Insurance (-0.1%) – save for the Industrial Goods (+0.3%) declined.
As measured by market breadth, market sentiment was negative (0.8x), as 21 tickers declined relative to 18 gainers. STANBIC (-10.0%) and CWG (-9.6%) topped the losers’ list while LASACO (+9.6%) and LINKASSURE (+9.4%) recorded the most significant gains of the day.
Currency
The naira appreciated at the I&E window by 0.1% to NGN410.50/USD but remained flat at NGN485.00/USD in the parallel market.
Money Market & Fixed Income
The overnight lending rate was flat at 15.5%, in the absence of any significant movement in system liquidity.
Trading in the NTB secondary market was bullish, as the average yield pared by 2bps to 4.7%. Across the curve, average yield was flat at the short and mid segments but declined at the long (-5bps) end as market participants bought up the 190DTM (-45bps) bill. Elsewhere, th,e OMO segment’s average yield expanded by 20bps to 8.1%.
The Treasury bond secondary market was bearish, as the average yield expanded by 10bps to 12.0%. Across the benchmark curve, average yield expanded at the mid (+29bps) and long (+8bps) segments due to sell-offs of the APR-2029 (+49bps) and JUL-2034 (+45bps) bonds but was unchanged at the short segment.
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