(Greenwich Merchant Bank): The Nigerian equities market fell by 0.02% as the NGX-ASI and market capitalisation declined to settle at 52,308.88 points and NGN28,208.06 billion respectively. Losses recorded by large cap stocks like UNILEVER (3.23%), ACCESSCORP (1.08%), MTNN (0.43%) and UCAP (0.39%) contributed to the decline witnessed in the market. As a result, the Year-to-Date stands at 22.46%.
Market sentiment was mixed as volume traded increased by 76.85% to settle at 205.64 million units while value traded recorded a decline of 19.57% to end the day at NGN2,786.98 million. UBA remained the stock with the highest volume traded while MTNN had the most value traded.Market breadth was positive at 1.07% owning to sixteen (16) gainers and fifteen (15) losers.
Performance across sectors was mixed as Consumer Goods sector (41.46%), Oil & Gas sector (69.63%) and Industrial sector (3.47%) were all positive while Insurance sector (16.51%) and Banking sector (2.94%) recorded losses.
Fixed Income Market
The impact of the increase in the benchmarked interest rate; Monetary Policy Rate already trickled in the fixed income market as rates increased both at the long and short term markets. Specifically, average yield in the Nigeria Treasury bills market rose by 8bps majorly due to sell off in the 09 February 2023 instruments. This resulted in the average yield closing at 7.23% from 7.15%.
The interbank rates wasn’t left out, as the Open Buy Back and Overnight rate rose by 38bps and 50bps to settle at 14.38% and 14.50% respectively. Notably, the Overnight rate suspended its 14.0% trend which started from June 23, 2022. However, system liquidity closed positive at NGN25.04billion from a negative balance NGN169.46billion.
Average yield increased in the Bond market by 7bps to end the day at 11.86% as bearish sentiment in the short end of the curve drove the
performance of the market.
OMO market continued its 7.15% trend in average yield as yields closed flat across the curve.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.