Equity Investors Gain N374bn as Market Breadth Index Remains Positive

By Dipo Olowookere

The Nigerian stock market further gained 0.23 per cent on Wednesday amid buying interest, triggered by the decision of the central bank to reset the interest rate to 23 per cent from 26.5 per cent.

Yesterday, the activity level surged, with the trading volume soaring by 91.09 per cent to 1.6 billion equities from the previous day’s 837.3 million equities. But the trading value decreased by 5.76 per cent to N45.8 billion from N48.6 billion, and the number of deals fell by 4.39 per cent to 49,836 deals from 52,126 deals.

The spike in the level of transactions was due to the 860.3 million units of Fortis Global Insurance worth N1.8 billion executed on the Nigerian Exchange (NGX) Limited at midweek, closing as the busiest equity.

It was followed by Fidelity Bank, which traded 170.7 million units valued at N3.4 billion, GTCO exchanged 86.2 million units for N11.9 million, Dangote Sugar sold 36.5 million units worth N2.5 billion, and Chams transacted 35.3 million units valued at N117.4 million.

A look at the sectorial performance showed that the industrial goods index was down by 0.15 per cent during the trading day. But the insurance counter grew by 1.08 per cent, the banking space appreciated by 0.85 per cent, the consumer goods segment rose by 0.17 per cent, and the energy sector jumped by 0.06 per cent.

At the close of business, the All-Share Index (ASI) chalked up 576.36 points to finish at 251,191.02 points compared with the preceding day’s 250,614.66 points, and the market capitalisation increased by N374 billion to N163.057 trillion from N162.683 trillion.

The highest price gainer for the session was Eterna, which improved its share price by 10.00 per cent to N38.50. Thomas Wyatt soared by 9.88 per cent to N2.78, CMFC expanded by 9.76 per cent to N2.70, Haldane McCall grew by 9.70 per cent to N3.28, and Omatek appreciated by 9.63 per cent to N1.48.

The heaviest price loser, on the other hand, was Caverton after it shed 9.09 per cent to trade at N4.00. University Press declined by 9.00 per cent to N4.55, Coronation Insurance dropped by 6.30 per cent to close at N2.23, Veritas Kapital slumped by 5.45 per cent to N1.04, and United Capital depreciated by 5.00 per cent to N17.10.

The market breadth index was positive on Wednesday after the bourse finished with 43 appreciating shares and 20 declining shares, indicating bullish investor sentiment.