Bulls ruled on Thursday from buying interests in banking heavyweights as investors saw almost N4bn profit

Charles Abuede

The domestic stock market extended the bullish sentiment on Thursday as the All-Share Index rose 0.07 per cent to settle at 38,799.83 points due to buying interest in Zenith Bank (+3.8%), GTBank (+2.7%) and Access Bank (+1.9%). Consequently, market year to date loss at -3.7 per cent was sustained and market capitalisation appreciated by N3.9 billion to settle at N20.3 trillion. On the flip side, the level of trading activity worsened as volume and value traded declined 59.2 per cent and 62.4 per cent respectively to 145.3 million units and N1.6 billion. The most traded stocks by volume were First Bank Holding (21.9m units), GTBank (20.5m units), and Zenith Bank (17.6m units) while GTBank (N589.2m), Zenith Bank (N379.9m) and First Bank Holding (N157.2m) led by value.

Furthermore, across sectors, the performance was mixed as the Banking index led the gainers’ chart, up 2.2 per cent due to price appreciation in Zenith Bank (+3.8%), GTBank (+2.7%) and Access Bank (+1.9%). Similarly, the Insurance and Oil & Gas indices advanced by 0.6 per cent and 0.4 per cent respectively as we saw buying interest in Aiico Insurance (+5.0%) and Oando Plc (+5.2%). Conversely, the consumer goods index declined by 0.2 per cent due to profit-taking in International Breweries (-2.6%) and Honey Well Flour (-5.0%). ICT and Industrial goods indices closed flat.

However, the market Investors’ sentiment, as measured by market breadth strengthened to 1.1x from 0.4x recorded in the previous session as 13 stocks advanced against 12 decliners. Consolidated Hallmark Insurance Plc (+9.7%), Japaul Gold (+9.4%) and Oando Plc (+5.2%) were the top gainers while Royal Exchange (-7.7%), Stanbic IBTC (-6.9%), and Jaiz Bank (-6.1%) were the top decliners.

NSE 30

At the close of trading on Thursday, the NSE 30 Index increased by 0.12 per cent to close at 1,542.27 points as against 1,540.39 points as on the previous day. Market turnover closed with a traded volume of 88.46 million units. Zenith and Okomu Oil were the key gainers, while International Breweries and Fidelity Bank were the only losers.

FX Market

At the Investors & Exporters’ FX market, the Naira appreciated by 0.33 per cent as the dollar was quoted at N409.65 as against the last close of N411. Most participants maintained bids between N405 and N438 per dollar.

T-Bills market

The NT-Bills secondary market closed on a flat note, with the average yield across the curve remaining unchanged at 3.97 per cent. Average yields across short-term, medium-term, and long-term maturities closed at 2.40 per cent, 3.30 per cent, and 5.46 per cent, respectively.

In the OMO bills market, the average yield across the curve remained unchanged at 6.45 per cent. Average yields across short-term, medium-term, and long-term maturities closed at 4.20 per cent, 5.84 per cent, and 7.35 per cent, respectively. Mild buying interest was seen on the 22-Feb-22 and 1-Mar-22 maturity bills, with yields falling by 1 basis point each.

Bonds Market

Elsewhere, the FGN bonds secondary market closed on a mildly negative note on Thursday, as the average bond yield across the curve cleared higher by 4 basis points to close at 6.84 per cent from 6.80 per cent on the previous day. Average yields across medium tenor and long tenor of the curve widened by 19 basis points each. However, the average yield across short tenor remained unchanged. The 18-MAR-2036 maturity bond was the worst performer, with an increase in yield of 47 basis points.