WED, 15 JUNE, 2022-theGBJournal| The NGX Exchange extended losses from the previous session as the All-Share index ended 0.64% lower to close at 52,775.40 points, the lowest point since 25 May. Selloffs in telco heavyweight, MTNN (-2.38%) was the major drag on the index. In addition, sustained losses in banking names, ZENITHBANK (-1.98%), FBNH (-5.71%) and UBN (-7.69%) overweighed rebounds in GTCO (+0.70%) and STANBIC (+1.05%). Consequently, the year-to-date (YTD) return fell to 23.55%, with the market capitalisation losing N182.91bn to close at N28.45trn.
Analysis of today’s market activities showed trade turnover settled lower relative to the previous session, with the value of transactions declining by 23.76%. A total of 188.1bn units of shares valued at N2.36bn were exchanged in 4,890 deals. UBA (-0.65%) led the volume chart with 36.4m units while GTCO (+0.70%) led the value charts with N531.30m.
Market breadth closed negative at a 2.36-to-1 ratio, with declining issues outnumbering advancing ones. MEYER (-10.00%) topped twenty-five (25) others on the laggard’s log, while TRIPPLEG (+9.20%) led ten (10) others on the leader’s table.
The naira appreciated by 0.2% to NGN420.00/USD at the I&E window.
The overnight lending rate stayed flat at 14.0%, in the absence of any significant funding pressure on the system.
The NTB secondary market traded with bearish sentiments, as the average yield expanded by 16bps to 4.6%. Across the curve, the average yield expanded at the short (+27bps), mid (+19bps), and long (+5bps) segments due to profit-taking on the 71DTM (+78bps), 134DTM (+65bps), and 330DTM (+14bps) bills, respectively. Similarly, the average yield expanded by 13bps to 4.6% in the OMO segment.
Trading in the Treasury bond secondary market was quiet, as the average yield closed flat at 11.1%. Across the benchmark curve, the average yield expanded at the short (+2bps) end as investors sold off the APR-2023 (+16bps) bond; but dipped at the mid (-2bps) and long (-1bp) segments following demand for the APR-2029 (-3bps) and MAR-2050 (-3bps) bonds, respectively.
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