Weekly Financial Market update The Snub suddenly turns a Bandwagon Market gets its share of US-SINO truce and OPEC compact December 9, 2018
Weekly financial Market Update Weekly Market Summary: The Market breadth closed negative at 0.50x The Nigerian capital market would always need the participation of foreign investors as much as it needs retail investors to increase the depth and resilience of the market. This however necessitates the importance of US Fed outlook on rate hike beyond the neutral point, global trade concerns and oil price as its continued to weigh on foreign reserves as well as price stability. Thus, the 90-day truce between Trump and Xi although quite ambiguous but gave equities market a sort of short-live respite as well as OPEC rein on oil production to stabilize price in near term. All these factors culminated the bearish outlook on equities market this week. In addition to the aforementioned drivers, renewed interest in DIAMONDBNK counters was also a significant push to the NSEASI. Going forward, NSEASI resumed the week in the red -0.24% while the positive closes in the two preceding days of trading signal a silver lining which was halted by a significant decline recorded on Thursday at -1.07%. Fortunately, Friday gain reaffirm MorganCapital Research position on stationary path of the market trend, basically in the bearish region at -0.02% w/w. Based on our weekly performance watch, Oil/gas sector topped the table due to gain in OANDO 9.57% as the banking sector and consumer goods indexes closely followed by 0.89% and 0.84% apiece upon positive return in DIAMONDBNK and CHAMPION while industrial goods and insurance indexes slipped significantly -2.08% and -3.06% respectively as investors sold off CONTINSURE, PRESTIGE, CCNN among other counters. Money Market Rates Rate(%) %Δ Overnight rate 26.08 17.37 Open Buy 24.33 16.55 Daily Commodity Price Watch Previous Current Daily (%) Brent($/PB) 60.22 61.67 2.41 Gold 1243.2 1249.31 0.49 Silver 14.53 14.7 1.17 Platinum 790.94 793.3 0.30 Copper 272.5 275.95 1.27 w-o-w returns chart Gainers %Δ DIAMONDBNK 56.92 IKEJAHOTEL 11.31 AIICO 11.11 JAIZBANK 10 CHAMPION 9.66 OANDO 9.57 LEARNAFRCA 8.62 CUTIX 8.24 WEMABANK 7.84 FBNH 7.04 losers %Δ CONTINSURE -12.5 PRESTIGE -10.91 MRS -9.98 NNFM -9.43 TRANSEXPR -9.23 NIGERINS -9.09 CCNN -8.33 MBENEFIT -8 AGLEVENT -6.9 CILEASING -5.83
That said, a total volume of 1.07billion shares worth N11.191billion were traded in 14,430 deals as against 1.199billion shares valued N14.277billion which were exchange in 15,841 deals. These showed that all indicators declined across board. Today s performance (Friday) which gained 0.15% was a sigh of relieve from the significantly plunge recorded in the yesterday. Thus, NSEASI closed at 30,867, up by 47.72 points while the market capitalization added N17.424billion compared to N121.419billion loss printed in the previous day to end at N11.27trillion. Regarding the total volume and value traded, both shed -36.29% and -37.51% to finish at 178.994million and N1.556billion in that order just as the total deals executed lost -13.17% to 2,631. On the technicals, RSI stayed above the floor at 35.31 from 34.14 and the Year-to-Date(YtD) return maintained its downward trends at -19.29%. Review of Sectoral Performance Consumer goods index topped the 3 performer sectors to close in the green at 1.95% upon significant interest in the counters of NESTLE 4.66% and DANGSUGAR 3.05% while NNFM, FLOURMILL and DANGFLOUR dipped - 9.43%, -3.81% and -0.79% apiece. Insurance index rose 0.02% to end at 122.50 as a result of appreciation in LASACO 7.41% and REGALINS 5.05% which helped to shrug off the negative impact of losses in WAPIC -2.44% and AFRIPRUD -1.07% while oil and gas sector ended inertia. On the laggard sectors, banking sector and industrial goods indexes slide by -0.47% and -0.35% respectively on the back of selloff pressure in its counters, mostly affected were UBA -3.8%, ETI -3.12%, STERLNBANK -1.18% and DANGCEM -0.54% as against positive sentiments around DIAMONDBNK 9.68%, WEMABANK 3.77%, ACCESS 2.05% and 2 other counters. Movement of NSEASI(Year-to-Date) Relative Strength Index(RSI)
NSE Market Indices Return Open(points) Close(points) Daily(%) WtD(%) MtD(%) YTD(%) NSE All Share Index 30819.10 30866.82 0.15-0.02-0.02-19.29 NSE Banking Sector Index 403.92 402.02-0.47 0.89 0.89-15.44 NSE Industrial Goods Index 1222.95 1218.68-0.35-2.08-2.08-38.31 NSE Consumer Goods Index 725.52 739.70 1.95 0.64 0.64-24.22 NSE Oil & Gas Index 281.49 281.49 0.00 1.98 1.98-14.88 NSE Insurance Index 122.48 122.50 0.02-3.06-3.06-12.10 Source: NSE, MorganCapital Research Market sentiment At the end of today s session, 10 counters closed in green as against 20 losers. Hence, MorganCapital Research believes the market will continue to skew in the bearish territory although not devoid of intermittence gains but not an assertion to a trend reversal in near term. Therefore, our position is that banking sector counters with sound fundamentals are viable investment options before a stable economic path is identified. Top Gainers Top Losers Ticker Close Change %Δ Ticker Price Change %Δ NESTLE 1549 69 4.66 AIRSERVICE 6.3-0.7-10 DANGSUGAR 13.5 0.4 3.05 SCOA 2.93-0.32-9.85 IKEJAHOTEL 1.87 0.17 10 NNFM 4.8-0.5-9.43 ACCESS 7.45 0.15 2.05 CHAMS 0.22-0.02-8.33 DIAMONDBNK 1.02 0.09 9.68 NAHCO 3.41-0.19-5.28 UBN 5.35 0.05 0.94 UBA 7.5-0.3-3.85 ZENITHBANK 23.55 0.05 0.21 FLOURMILL 20.2-0.8-3.81 LASACO 0.29 0.02 7.41 NPFMCRFBK 1.45-0.05-3.33 WEMABANK 0.55 0.02 3.77 ETI 15.5-0.5-3.12 REGALINS 0.21 0.01 5 WAPIC 0.4-0.01-2.44 Top Traded Stocks by Volume Top Traded Stocks by Value Ticker Deal Volume %Δ Ticker Deal Value %Δ OANDO 50 60,370,053.00 1247.90 OANDO 50 310,805,915.90 1275.71 FCMB 75 22,436,560.00 244.55 GUARANTY 170 269,985,783.80-46.83 DIAMONDBNK 82 14,305,004.00-79.03 ZENITHBANK 198 259,480,143.50 62.94 STERLNBANK 547 11,908,632.00 2048.36 NB 51 182,600,789.10-42.76 ZENITHBANK 198 11,055,892.00 63.62 STANBIC 25 101,874,119.75 315.21 GUARANTY 170 7,727,102.00-46.59 DANGCEM 55 59,007,413.00-39.79 FIDELITYBK 68 6,660,553.00 82.51 UBA 98 45,510,081.65 43.90 UBA 98 5,991,383.00 45.87 NESTLE 25 41,336,461.00-60.30 DANGFLOUR 35 5,029,991.00 127.01 FCMB 75 33,676,984.87 243.36 FBNH 154 3,789,408.00-95.90 DANGFLOUR 35 31,895,343.95 127.65 Source: NSE, MorganCapital Research
NASD OTC Performance PARAMETER Previous Current Weekly(%) Daily (%) USI 708.05 703.9-0.24-0.59 Capitalization ( 'Bn) 492.11 489.22-0.24-0.59 Volume Traded 122053 227543-99.44 86.43 Value Traded ( '000) 17466.3 3556.07-89.19-79.64 Deals Executed 7 17 6.25 142.86 NSEASI & Moving Averages (100 and 200-day) Source: NSE, MorganCapital Research Top Performers Global Market Performance 1 day 12/07 1 week 1 month 3 months Index Change Index Change Index Change Index Change Norway 2.28% Vietnam 3.46% Philippines 6.07% Brazil 15.31% Russia 2.10% Greece 2.93% Hungary 5.00% Russia 10.23% Denmark 1.42% Russia 2.82% Vietnam 3.95% Hungary 7.85% Sweden 1.21% Abu Dhabi 2.23% Indonesia 3.14% Argentina 5.83% London 1.10% Philippines 1.27% Singapore 1.49% Indonesia 4.70% India 1.02% Indonesia 1.16% India 1.27% Poland 1.04% Ireland 1.02% Chinext 0.87% Greece 1.24% Turkey 0.46% Netherlands 1.01% SZ SME 0.80% Poland 0.63% Singapore -0.74% Turkey 0.94% Shanghai 0.68% Argentina 0.46% Abu Dhabi -0.85% Portugal 0.91% Shenzhen 0.68% Brazil 0.46% Vietnam -1.06% ` Top Decliners 1 day 12/07 1 week 1 month 3 months Index Change Index Change Index Change Index Change NASDAQ -0.0305 Egypt -0.0627 Ireland -0.1129 Egypt -0.2037 Rus 3000 growth -0.0289 Rus 2000-0.0562 Mexico -0.1076 Ireland -0.1651 Rus 1000-0.0234 NASDAQ -0.0493 Nigeria -0.091 Luxembourg -0.1608 S&P 500-0.0233 Rus 3000 growth -0.049 UAE Dubai -0.088 Rus 2000-0.1548 Rus 3000-0.0231 Ireland -0.0464 Rus 2000-0.0849 Mexico -0.145 Rus 2000-0.0199 Rus 3000-0.0464 Austria -0.0836 NASDAQ -0.1181 Rus 3000 value -0.0175 S&P 500-0.046 Luxembourg -0.0822 S. Africa -0.1166 Argentina -0.0147 Rus 1000-0.0457 NASDAQ -0.0795 Rus 3000 growth -0.1129 Finland -0.0113 Austria -0.0453 Egypt -0.0775 Finland -0.1123 Philippines -0.0099 Rus 3000 value -0.044 Rus 3000 growth -0.0766 SZ SME -0.1025
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