Nigerian equities continued on the uptrend on Tuesday as the stock market reopened after the Democracy Day Holiday on Monday.
For the fifth consecutive trading session, most transactions at the Nigerian Stock Exchange (NSE) were closed at a premium, pushing up the average year-to-date return to 8.94 per cent.
Aggregate market value of all quoted equities companies at the NSE rose from opening value of N10.048 trillion to close at N10.121 trillion, representing a net capital gain of N73 billion. The All Share Index (ASI)-the common value-based index that tracks prices at the Exchange, also posted a day-on-day return of 0.73 per cent to close at 29,276.59 points as against its opening index of 29,064.52 points.
Most sectoral indices showed widespread positive sentiment. The NSE Banking Index recorded the highest gain of 2.2 per cent. It was followed by the NSE Insurance Index with a gain of 2.0 per cent. The NSE Industrial Goods Index appreciated by 0.7 per cent while the NSE Consumer Goods Index rose slightly by 0.3 per cent. However, the NSE Oil and Gas Index declined by 2.0 per cent.
There were 29 advancers against 17 decliners. Presco led the gainers with a gain of N1.99 to close at N51. Flour Mills of Nigeria followed with a gain of N1.01 to close at N21.24. Nigerian Breweries rose by N1 to close at N146. Lafarge Africa added 55 kobo to close at N48. Guaranty Trust Bank appreciated by 52 kobo to close at N35.80. Ecobank Transnational Incorporated rose by 51 kobo to close at N10.80. Nascon Allied Industries appreciated by 40 kobo to close at N8.90. FBN Holdings rose by 39 kobo to close at N5.28. Zenith Bank chalked up 37 kobo to close at N19.50 while Access Bank gathered 31 kobo to close at N7.90 per share.
On the downside, Seplat Petroleum Development Company led the losers with a loss of N19.50 to close at N370.50. Seven-Up Bottling Company dropped by N5.24 to close at N99.75. CAP declined by N2.20 to close at N32.05. Enamelware lost N1.46 to close at N27.87. International Breweries dropped by 91 kobo to close at N21.05 per share. Okomu Oil Palm lost 49 kobo to close at N52.50. Stanbic IBTC Holdings declined by 20 kobo to close at N26.75. Nigerian Aviation Handling Company dropped by 14 kobo to close at N2.75 while Oando lost 11 kobo to close at N8.89 per share.
Total turnover stood above average with the exchange of 832.51 million shares worth N7.59 billion in 6,259 deals. Diamond Bank was the most active stock with a turnover of 194.21 million shares worth N184.75 million. Champion Breweries followed with 83.97 million shares valued at N173.83 million while Guaranty Trust Bank occupied the third position with a turnover of 76.59 million shares worth N2.81 billion.
“As investor sentiment remains bolstered by positive developments in the economy, we believe the bullish trend will be sustained in trading sessions ahead,” Afrinvest Securities stated.
Analysts at SCM Capital Markets stated that “the market is expected to remain in the positive terrain, given the continuous interest across bellwether counters. However, our momentum oscillator is currently indicating that market is in the overbought condition, we may likely witness slight profit taking”.
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