Nigerian equities staged their biggest rally so far this year on Monday as widespread bargain-hunting lifted equities’ capitalisation by N330 billion to a new threshold of N14 trillion.
The five-hour trading session at the Nigerian Stock Exchange (NSE) indicated a massive scramble for equities.
Benchmark indices at the Exchange showed day-on-day gain of 2.38 per cent, equivalent to net capital gain of N330 billion on Monday. This nudged the average year-to-date return for Nigerian equities to 4.2 per cent.
With more than four advancers to every decliner, aggregate market value of all quoted companies on the Exchange rallied to N14.181 trillion from its opening value of N13.851 trillion. The All Share Index (ASI)-the common value-based index that tracks share prices at the Exchange, rose from its opening index of 38,923.26 points to close at 39,849.65 points.
All sectoral indices also closed positive, indicating the widespreadbargain-hunting that characterised trading on Monday. The NSE Industrial Goods Index led with a gain of 2.3 per cent. The NSE Banking Index trailed with 2.0 per cent. The NSE Oil & Gas Index rallied by 1.7 per cent while the NSE Consumer Goods Index and NSE Insurance Index posted a gain of 1.1 per cent each.
Nigeria’s most capitalised quoted company- Dangote Cement led 36 other advancers with a gain of N11.15 to close at N234.26. 11, formerly Mobil Oil Nigeria, followed with a gain of N8.50 to close at N178.50. Guinness Nigeria appreciated by N4.40 to close at N100. Conoil rose by N3.01 to close at N32.41. Nigerian Breweries chalked up N1.90 to close at N140 per share. Forte Oil rose by N1.50 to close at N47.50. Cadbury Nigeria added N1.34 to close at N16.84. Unilever Nigeria rose by N1.15 to close at N43 while Guaranty Trust Bank and PZ Cussons Nigeria added N1 each to close at N44 and N21 respectively.
On the downside, Vitafoam Nigeria led the nine-stock decliners’ list with a drop of 16 kobo to close at N3.09. Dangote Sugar Refinery followed with a loss of 15 kobo to close at N21.70. C & I Leasing dipped by 7.0 kobo to close at N1.36. Africa Prudential dropped by 5.0 kobo to close at N4.48 while NPF Microfinance Bank and University Press lost 4.0 kobo each to close at N1.33 and N2.55 respectively.
Total turnover stood at 604.5 million shares valued at N16.17 billionin 5,769 deals . Transnational Corporation of Nigeria was the most active stock with a turnover of 115.19 million shares valued at N203.28 million. Nigerian Breweries followed with a turnover of 88.29 million shares valued at N13.36 billion while Diamond Bank placed third with 82.72 million shares valued at N162.32 million.
“We expect the trend to be sustained in subsequent trading sessions against the backdrop of a broad based rally across sectors,” Afrinvest Securities stated.
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