Investors Gain ₦235.3B As Bulls Maintain Winning Streak: NSE ASI Up Further By 1.20%

Equities market closed the day’s trading session in the green zone (investors gain) as the NSE All-Share Index and Market Capitalisation appreciated by 1.20% to close at 37,893.61 and ₦19.81 trillion respectively.

The Year-to-Date (YtD) and the Quarter-to-Date (QtD) returns stand at 41.17% and 41.23%, while the Month-to-Date (MtD) and Week-to-Date returns stand at 8.14%and 2.96% respectively.

NSE Sector Indices:

Of all the Industries on the NSE within our coverage, 3 sectors advanced in points, while 3 sectors declined. The NSE sector indices that advanced in points were NSE PREMIUM (+2.78%), NSE 30 (+1.50%) and NSE BANKING (+0.06%), while the sectors that declined in points were NSE CONSUMER GOODS (-0.24%), NSE OIL &GAS (-0.33%) and NSE INSURANCE (-0.49%).

The market Breadth (gainers/losers) of 0.62x for the day indicates that the number of sellers outpaced the number of buyers in the market today. At the end of the day’s trading, 14 stocks advanced as 21 stocks declined; ETERNA (+10.00%), FTNCOCOA (+8.82%) and DANGCEM (+6.34%) led the gainers’ chart while CHIPLC (-10.00%), REDSTAREX (-9.62%) and ABCTRANS (-9.09%) led the losers’ chart for the day.

NSE

The day’s trading activities by volume was led by ZENITH BANK (59.02million), MANSARD (39.27million) and GUARANTY (38.22million) while the activity by value was led by DANGCEM (₦3.17billion), MTNN (₦2.21billion) and ZENITH BANK (₦1.45billion).

Outlook:

Investors gained ₦235.3 billion as bulls maintained winning streak: NSE ASI up further by 1.20%. There are optimisms that the bulls will recover the market in the coming days. We, therefore, advise our clients not to engage in panic selling as we expect the equity market to maintain positive growth due to the expectation of dividend payment in early 2021 and lower yields in the fixed income market.

FIXED INCOME REPORT AS AT DECEMBER 21, 2020

Treasury Bills Market:

In the treasury bills markets, the average yield remains unchanged as it closed at 0.39% today (vs. 0.39% average market yield of last trading session). At the end of the trading session today, the 11-Mar-21, 10-Jun-21 and 28-Oct-21 bills closed at 0.32% (0.00%), 0.19% (0.00%), and 0.65% (0.00%) respectively.

FGN Bond Market:

In the bond market, the average market yield increased by an average of 109bps as it closed at 4.31% as against 4.18% of the previous session. The result for the 14-Nov-2021, 27-Apr-2023, 23-Mar-2025, 17-Mar-2027, 20-Nov-2029, 18-Mar-2036 and 26-Apr-2049 bonds traded are 0.87% (-0.34%), 2.74% (-0.03%), 4.25% (1.00%), 5.19% (0.33%), 6.30% (0.13%), 7.16% (0.00%) and 7.60% (0.00%) respectively.

Foreign Exchange Market:

At the FX Market (CBN Official Window), Naira remains unchanged, closing at ₦379.00/$ today compared to the ₦379.00/$ it traded in the previous trading session. On Investors and Exporters Window, Naira remains unchanged against the dollar as it closed at ₦394.00/$ today (vs. ₦394.00/$ it closed in the previous trading session).

Money Market:

In the Money Market today, the REPO rate decreased by an average of 150bps to ease liquidity. At the end of the trading session, the call, 1M, 2M, 3M rate closed at 1.00% (-3.00%), 1.00% (-3.00%), 3.00% (0.00%) and 6.00% (0.00%) respectively. However, Open-Buy-Back (OBB) and Overnight (O/N) rate decreased by an average of 300bps, closing at 1.00% and 2.00% respectively.