Monday, September 5, 2022: The exchange rate at the Nigerian Investors and Exporters (I&E) FX Window opened the trading session with the naira gaining 0.05 percent (431.30/$1) against the dollar. As the intra-day trading progressed, the naira plunged to close at N434.75/$1. representing a 0.8 percent decline from the previous day’s closing price of N431.50.
An exchange rate of N437.50/$ was the highest rate recorded during the intra-day trading before it settled at N434.75/$1 at the end of the trading session, while it also traded as low as 425/$ during intra-day trading. According to data from FMDQ, a total of $99.68 million was traded at the Investors and Exporters (I&E) Window for the reporting period, representing an increase of 6.6 percent from the $93.54 million traded the previous day.
The naira weakened slightly against the dollar at the parallel (black) market as it closed at about N701/$, losing 0.14 percent to the greenback. On a week-on-week basis, the naira depreciated 0.9 percent against the dollar. Trading activities at the B2B market show that the exchange rate stabilized, having closed at about N703/$ for the same period being reported. This is based on the information obtained from forex marketers in Lagos.
Foreign Reserves
According to data from the Central Bank of Nigeria (CBN), the gross foreign reserve ticked up slightly to $39.02 billion as of August 31, 2022, increasing by $9.5 million (0.02 percent) from $39.01 billion recorded on August 30, 2022.
Capital Market Update
As of September 5, 2022, the Nigerian equities market closed the trading session with the NGX All Share Index (ASI) increasing by 11 basis points (bps) to close at 49991.41. The trading volume was 200,919,932 units, increasing significantly from 10,258,914 units recorded at the end of the previous day’s trading. The total value that exchanged hands was N1,445,791,939.52, representing a 1475 percent increase from the value (N91,786,200.81) at the close of the previous day of trading.
There was a mixed performance for the sectors under our review. Pension, Banking, and Insurance sectors had a bearish performance as their indices closed red. On the other hand, the Oil and gas index stabilized with only Consumer Goods closing green. The Banking index, having the highest decrease, declined by 91bps, Pension by 23bps, and Insurance by 7bps. The Consumer Goods index increased by 55bps and Oil and Gas was stable during the period as its index remained unchanged.
CHAMS stock led the top gainers as the share price rose by 7.69 percent, while ABCTRANS led the decliners after dropping by 9.68 percent. STERLNBANK emerged as the most traded stock by volume as 90,895,915 units of its stock were traded at N131,899,256.31. On the other hand, ZENITHBANK was the most traded by value as N203,079,163.90 exchanged hands for 9,493,318 units of its shares.
