Nigerian equities reeled under sustained losses as the bourse recorded 22 losers against 15 gainers. Also, investment appetite was weakened given declines in investment activity and level. By the close of business, NSE ASI and market capitalisation fell by 34bps each. Shares of fizzy drinks maker, 7UP Bottling Company, appreciated by N2.41 to N145 a share while brewery giant, Nigerian Breweries, upped by N0.39 to N106.09 a share. On the flip side, shares of major petroleum products marketer, Forte Oil, tumbled by N25.12 to close at N250 a share while Guinness Nigeria shares tanked by N1 to close at N97 apiece. The deposit money bank posted a 13.06% increase in gross earnings to
N86.82 billion and a 42.08% increase in profit after tax to N19.42 billion.
The growth in bottom line followed an 87.51% increase in fee and
commission income to N18.04 billion. Its share price gained 1.83%.
True Yields increased for virtually all
tenors as bearish activities returned – yields on the 1 month, 3 months and 12 months tenured bills increased to 4.09%, 7.78% and 11.00% respectively. Meanwhile, interbank offered rates mellowed for all tenor buckets following last week’s FAAC disbursements worth N299.7 billion – NIBOR for overnight funds, 1 month, 3 months and 6 months softened to 4.23%, 8.03%, 10.21% and 12.06% respectively.
OTC FGN bond prices declined for most maturities on the back of sell
pressure – 20-year, 10.00% FGN JUL 2030 bond, 7-year, 16.00% FGN JUN
2019 paper and 5-year, 15.10% FGN APR 2017 instrument shed N0.04
(yield rose to 12.97%), N0.04 (yield increased to 12.25%) and N0.10 (yield rose to 10.92%) respectively.
Nigeria’s Eurobonds softened on sustained profit taking. The 10-year, 6.75% JAN 28, 2021 bond and 5-year, 5.13% JUL 12, 2018 bond lost USD0.76 (yield rose to 7.34%) and USD0.43 (yield increased to 5.13%) respectively.
Cowry Assets