Equities Market Moves Further South by 0.3%

…savings bond offer closes Friday

At the close of trading session on Thursday, Nigeria’s equities market decreased by 0.3 percent or N112billion, furthering southward journey which began on Wednesday ahead of the outcome of Presidential Election Petition Court (PEPC) judgement.

The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and equities market capitalisation decreased from preceding day’s highs of 68,286.28 points and N37.373trillion respectively to 68,082.11 points and N37.261trillion on Thursday.

The market’s return year-to-date (YtD) decreased to 32.84percent. Though, this month the market has risen by 2.30 percent.

Analysts at Lagos-based Vetiva research who had expected Wednesday’s trading pattern to repeat on Thursday noted that investors will continue to cherry pick attractive names across board, “while taking profit on recent gainers”.

Investors took profit in shares of NASCON which decreased most from N60.75 to N56.60, losing N4.15 or 6.83percent; followed by Wema Bank which dropped from N5.45 to N5.10, shedding 35kobo or 6.42percent, and Morison Industries which was also down from N2.83 to N2.55, losing 28kobo or 9.89percent.

In 8,106 deals, investors exchanged 378,089,058 shares valued at N8.376billion. Oando, Omatek, Dangote Sugar Refinery, Fidelity Bank and Access Corporation were actively traded stocks.

The monthly FGN Savings Bond offer which opened Monday September 4 will close on Friday September 8. On behalf of the Federal Government, the Debt Management Officer (DMO) offers 2-year savings bond at coupon rate of 11.031percent per annum, and 3-year savings bond at coupon rate of 12.031percent per annum.

The 2-year FGN Savings Bond is due September 13, 2025, while the 3-year FGN Savings Bond is due September 13, 2026.

The FGN Savings Bond is backed by the full faith of the Federal Government. The coupons will be paid quarterly (every 3 months) in arrears while the principal will be paid at maturity together with the last coupon. The coupon payment dates are December 13, March 13, June 13, September 13.