- Nigerian equities market close on the positive line as investors await election results
- The Nigerian Naira record gains at the official and Investors and Exporters' windows.
- Traders say the bullish run of Nigerian markets lifted a layer of political uncertainty among investors in Africa’s biggest economy.
Here is how Nigeria's stocks, bonds and forex markets fared after the presidential election
Nigerian markets post sterling performance on Monday after the conclusion of the Presidential and National Assembly elections.
Nigerian markets recorded sterling performance on Monday as stocks and bonds rose after the conclusion of the Presidential and National Assembly elections.
The NSE All-Share Index appreciated by 0.57% to close at 32,700.12 basis points as against 0.16% depreciation recorded previously while longer-dated local bonds rise on 2028 issue. Yields on 10-year paper fell to 14.5% on Monday from a previous close of 14.68%.
The results, traders told Reuters that it has lifted a layer of political uncertainty in Africa’s biggest economy.
Samir Gadio, head of Africa strategy at Standard Chartered Bank told Reuters that “The market opened on a constructive note.. as evidenced by a receiving bias in USD/NGN forwards, supportive local bond performance and moderate gains in Eurobonds.
“The risk-on global backdrop, higher oil prices and prospects of larger portfolio inflows after the election are probably driving this positive market performance.”
Analysts also anticipated a positive start to this week's trading as investors price in improved certainty upon conclusion of the general election.
Here are the highlight of the markets:
- The Foreign Exchange Market
Nigeria Naira closed flat at the parallel, official and Investors and Exporters' windows on Monday.
At the parallel market, the local currency closed flat at N360 to the dollar and appreciated by 0.01% to close at N361.54 at the I&E FX market with a market turnover of $165.32 million.
At the CBN official market, it also appreciated by 0.02% to close at N306.85 to the dollar.
Traders said no major trades occurred on the forex market on Monday as investors await the result of the vote.
The naira firmed to N396 per dollar, up from N401 posted a week ago at the forward market.
- The Nigerian Stock Market
The Nigerian stock market closed on a bullish note, gaining 0.43% to close at 32,655 basis points.
Dangote Flour led 25 gainers as against 8 losers at the end of the today's session on an improved performance when compared to Friday outlook.
- Bond market
Local bonds rose on 2028 issue on Monday. Yields on 10-year paper fell to 14.5% from a previous close of 14.68%.
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