Beyond the main exchange, activity across alternative trading platforms and macroeconomic indicators reflected a cautious stance among investors, influenced by shifting global energy dynamics and local currency adjustments.
NASD Over-the-Counter (OTC) Market Review
The NASD OTC market closed its session on a softer note, with the NASD Security Index (NSI) declining by 1.22% to settle at 4,414.02 points. Mirroring the index, total market capitalization dropped 1.22% to close at N2.65 trillion, while the market’s YTD return moderated from 26.10% in the previous session to 24.56%.
Trading activity on the OTC platform contracted significantly. Total volume traded plummeted by 76.78% to 166,461 units, and transaction value fell by 72.81% to N11.96 million. Market participation dropped sharply, with only 23 trades executed—representing a 66.67% reduction from the prior session. On the performance board, SDAFRILAND led the advancers with a 9.05% gain, whereas SDCSCSPLC emerged as the session’s primary loser, shedding 10.99%.
Foreign Exchange and Macroeconomic Indicators
In the Nigerian Foreign Exchange Market (NAFEM), the local currency depreciated marginally by 0.42%, closing at N1,321.22/US$1. Meanwhile, broader economic parameters reflected a real GDP growth rate of 3.89% and an inflation reading of 15.91%. The Monetary Policy Rate (MPR) stood adjusted at 26.50%.
On the global front, macroeconomic stability faced renewed threats from international energy markets. U.S. diesel prices spiked to an all-time high of $5.820 per gallon—shattering previous 2022 records—as ongoing conflicts in the Middle East and the Russia-Ukraine war continue to constrict global fuel supplies. Combined with seasonal demand spikes from harvest and holiday periods alongside constrained refining capacities, elevated fuel prices threaten to exert persistent upward pressure on global operational costs in the coming months.
