FeaturedMarket Update

Nigerian Equities Market: The Bears Take Back the Lead as NSEASI Gave Up 22Bpts: 15/04/19

Taking back the lead around the market arena, the bear drove the market through another round of bearish path as the lead performance index NSEASI gave up 22Bpts to round up the day’s trade at 29,495.91 from 29,560.47. It was a mixed performance amongst the observed market indices as shown in the index movement table. After today’s bearish move, the total lost points during the month of April increased to 498Bpts. See the index movement table for details.

Value loss by the market capitalization of the listed equities during today’s trading activities was N24.249 billion, same as 22Bpts below the opening value.  Meanwhile, trading activities for the day produced 26 ADVANCERS and 17 LAGERS. NSEASI Year to Date loss is now 616Bpts while the Market Capitalization Year to Date loss stood at N641.830 billion same as 548Bpts below the year’s opening value.

Paramount in every traders’ mind is how to identify the end of the bear’s dominant on market trend, before now, it is expected that the full year performance indices will redirect the market, but after the glaring failure of same, traders are looking towards possible impact of the first quarter financial performances (at least from listed equities with December financial year). Many are of the opinion that it will give a clear reflection of expected trend on business performance in 2019. Technically, the market is bearish and has stayed in the sell part of many indicators. Although when few indices are adjusted to 7 days trading signals, a fake buy signals was observed during the last correction moves. We are of the opinion, that long term positions in fundamentally based equities are reasonable at the moment.

 

As at the time we compiled this report, Brent Crude trades at $71.02/bbl having loss 0.16% to stand above the last close price.

 

At the interbank rate today, the Naira closed at N306.95 against the dollar; that is 2Bpts above Friday’s close.  See below table for BDC rates by four major locations within the country. Meanwhile, the I&E FX Window started from N360.35 traded as high as N362.00 before rounding up at N360.30, having transacted a total of $118.80 million through the day. Please note that, margin between the close and open value is an equivalent of 1Bpts loss. We are of the opinion that the FX-Market will trade within same range tomorrow.

 

In the money market, the Overnight (O/N) rate closed at 42.93%, same as 21.36% above the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 40.00%, that is, 19.71% above the previous close. We are of the opinion that the money market will maintain this range on the next business day. Safe Trade.

 

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FeaturedMarket Update

Nigerian Equities Market: The Bears Take Back the Lead as NSEASI Gave Up 22Bpts: 15/04/19

Taking back the lead around the market arena, the bear drove the market through another round of bearish path as the lead performance index NSEASI gave up 22Bpts to round up the day’s trade at 29,495.91 from 29,560.47. It was a mixed performance amongst the observed market indices as shown in the index movement table. After today’s bearish move, the total lost points during the month of April increased to 498Bpts. See the index movement table for details.

Value loss by the market capitalization of the listed equities during today’s trading activities was N24.249 billion, same as 22Bpts below the opening value.  Meanwhile, trading activities for the day produced 26 ADVANCERS and 17 LAGERS. NSEASI Year to Date loss is now 616Bpts while the Market Capitalization Year to Date loss stood at N641.830 billion same as 548Bpts below the year’s opening value.

Paramount in every traders’ mind is how to identify the end of the bear’s dominant on market trend, before now, it is expected that the full year performance indices will redirect the market, but after the glaring failure of same, traders are looking towards possible impact of the first quarter financial performances (at least from listed equities with December financial year). Many are of the opinion that it will give a clear reflection of expected trend on business performance in 2019. Technically, the market is bearish and has stayed in the sell part of many indicators. Although when few indices are adjusted to 7 days trading signals, a fake buy signals was observed during the last correction moves. We are of the opinion, that long term positions in fundamentally based equities are reasonable at the moment.

 

As at the time we compiled this report, Brent Crude trades at $71.02/bbl having loss 0.16% to stand above the last close price.

 

At the interbank rate today, the Naira closed at N306.95 against the dollar; that is 2Bpts above Friday’s close.  See below table for BDC rates by four major locations within the country. Meanwhile, the I&E FX Window started from N360.35 traded as high as N362.00 before rounding up at N360.30, having transacted a total of $118.80 million through the day. Please note that, margin between the close and open value is an equivalent of 1Bpts loss. We are of the opinion that the FX-Market will trade within same range tomorrow.

 

In the money market, the Overnight (O/N) rate closed at 42.93%, same as 21.36% above the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 40.00%, that is, 19.71% above the previous close. We are of the opinion that the money market will maintain this range on the next business day. Safe Trade.

 

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