…Naira appreciates by 0.11% to close at ₦1,355.85
https://www.digital.zenithbank.com/ZEQ/ZEQ-jan-2026/index.html#p=1The Nigerian equities market closed on a negative note, with the benchmark index declining by 1.23%, bringing the year-to-date return down to 54.06%.
Market activity weakened during the session, as trading volume declined by 21.47% to 1.47 billion shares, while total value traded also fell by 38.30% to ₦64.39 billion, reflecting softer participation across the market.
Despite the bearish close, market breadth remained firmly positive, with 46 gainers against 34 decliners, indicating resilient underlying bullish sentiment across several counters.
On the sectoral front, the banking sector dominated trading activity, accounting for the highest volume and value of trades. Meanwhile, the insurance sector emerged as the top-performing sector, posting a solid daily gain of 1.51%. The oil and gas sector, however, maintained the strongest year-to-date performance, with an impressive return of 117.57%.
On the performance chart, CAP and FTNCOCOA topped the gainers’ table, while UPL led the laggards, followed by REDSTAREX.
On the corporate front, several companies announced upcoming Annual General Meetings (AGMs).
Fixed Income Market
System liquidity declined further today, falling by 18.58% to ₦6.83 trillion net negative. This liquidity drop pushed the Overnight (O/N) rate 8bps higher to 22.25%. Meanwhile, both the Nigerian Overnight Financing Rate (NOFR) and the Open Repo Rate remained unchanged.
Market sentiment in the FGN bond space was largely muted, with the average yield edging up 1bp to 16.09% (from 16.08%). Activity at the short end weakened as yields in the segment jumped 2bps. The mid- and long-end of the curve remained relatively subdued, reflecting cautious positioning by investors.
Trading activity improved broadly, but pressure on the 22 April 2027 maturity pulled the overall average yield slightly lower by 0.4bps to close at 17.47%.
Nigeria’s Eurobonds retreated from the previous session’s bullish trade, pushing average yields 1bp higher to 6.70% (from 6.69%). This correction contrasts with improved sentiment in global markets. Meanwhile, Nigeria’s external reserves continued to deplete, reinforcing bearish sentiment.
Currency Market
Today, the naira appreciated marginally against the dollar at the NAFEM window, with the USD/NGN declining by 0.1% to close at ₦1,355.85.
Meanwhile, Nigeria’s external reserves extended its downward trend, declining to $48.34 billion as of May 4.
In the commodities market, Brent crude price declined by 3.6% to settle at $98.16 per barrel, marking its lowest level this month. The decline was driven primarily by easing geopolitical tensions in the Middle East, amid growing hopes that a ceasefire agreement could be reached.
