Market Rebounds, eTranzact, Learn Africa, Unilever, Others Appreciate

• Market Rebounds, eTranzact, Learn Africa, Unilever, Others Appreciate

The Nigerian Stock Exchange All-Share Index turned slightly positive in Wednesday’s session, halting a three-day loss as most key sectors closed positive.

The NSE ASI rose by 0.08 per cent as 20 stocks appreciated amid 17 losers.

A total of 159.989 million shares worth N1.741bn exchanged hands in 2,396 deals.

The NSE market capitalisation rose to N9.315tn from N9.307tn, while the ASI closed at 27,120.39 basis points from 27,098.52 basis points.

The consumer goods sector added the most points to the ASI following gains in Unilever Nigeria Plc by 4.6 per cent, Nigerian Breweries Plc by 0.34 per cent and Dangote Sugar Refinery Plc by 4.5 per cent.

The financial services sector inched 0.14 per cent higher amid advances in United Bank of Africa Plc by 1.67 per cent, Diamond Bank Plc by 2.73 per cent and Union Bank of Nigeria Plc by 0.44 per cent.

However, the industrial sector stocks closed flat, while the oil and gas sector dropped by o.65 per cent owing to a slide in Forte Oil Plc by 2.99 per cent.

Global markets traded mostly lower amidst a raft of disappointing earnings. Notably, Apple Incorporated posted its first full year revenue decline since 2001.

On what would shape the next trading session, analysts at Vetiva Capital Management Plc said, “We highlight that a couple of earnings of key stocks were released after the session close, and believe the market will open to investor reaction to these results in the session ahead.”

Meanwhile, the Central Bank of Nigeria held an Open Market Operation auction for a third successive day, selling N4.8bn and N49bn on the 183-day and 358-day bills (N30bn on offer for each) at respective stop rates of 18 per cent and 18.5 per cent (effective yields: 19.78 per cent and 22.60 per cent).

Despite this, the interbank call rate moderated a marginal 17 basis point to 10.50 per cent. At the foreign exchange interbank market, the naira depreciated N1.78 against the dollar to settle at N306.78 at the spot market whilst the one year forward rate remained unchanged at N348.14.

Bearish sentiment persisted in the Treasury bills space as yields climbed 22 basis points on average. Sell pressure was concentrated on the short-mid dated maturities with yields on the 22 day-to-maturity, 113DTM, and 148DTM bills rising to 16.12 per cent, 18.64 per cent, and 18.64 per cent, respectively.

The bond market also traded mildly bearish, with yields on benchmark bonds up two basis points on average. The largest advances were recorded on the 15.54 per cent FGN February 2020 and 14.20 per cent FGN March 2024 bonds, which rose four basis points each to settle at 14.99 per cent and 15 per cent, respectively.