Investors Gain N101bn from Shares as Trading Activities Slow

By Dipo Olowookere

The Nigerian Exchange (NGX) Limited witnessed a decline in trading activity on Monday as stocks struggled for investors’ attention over the recent development in the fixed-income market.

Rates were hiked last week in the treasury bills market to 19 per cent, and this is already diverting attention to the ecosystem because of its low-risk advantage.

Yesterday, the local equity market appreciated by 0.18 per cent as the bears and the bulls battled for control of the bourse.

It was observed that the banking and industrial goods indices fell by 0.88 per cent and 0.07 per cent apiece due to profit-taking and would have brought down the market at the close of transactions.

However, the gains reported by the insurance, consumer goods, and energy sectors salvaged the situation as they respectively closed higher by 2.30 per cent, 0.60 per cent, and 0.15 per cent.

Consequently, the All-Share Index (ASI) moved up by 183.95 points to 102,042.32 points from 101,858.37 points, and the market capitalisation increased by N101 billion to N55.836 trillion from N55.735 trillion.

A total of 242.4 million equities valued at N5.1 billion exchanged hands in 8,715 deals on the first trading day of the week compared with the 321.9 million equities worth N7.4 billion exchanged in 8,925 deals last Friday, implying a decline in the trading volume, value, and the number of deals by 24.70 per cent, 31.08 per cent, and 2.35 per cent, respectively.

Access Holdings topped the activity chart after transacting 24.9 million stocks for N575.1 million, Veritas Kapital traded 24.2 million shares valued at N17.5 million, GTCO exchanged 21.2 million equities for N841.3 million, FBN Holdings sold 17.2 million shares worth N439.4 million, and Transcorp transacted 17.1 million equities valued at N229.2 million.

Business Post reports that investor sentiment was strong yesterday as the NGX closed with 32 price gainers and 23 price losers, representing a positive market breadth index.

The trio of NCR Nigeria, Chams, and Royal Exchange recorded a price of appreciation of 10.00 per cent each to settle at N4.40, N2.75, and 77 Kobo apiece, as Sunu Assurances gained 9.50 per cent to close at N1.96, and The Initiates soared by 9.43 per cent to N2.32.

On the flip side, Infinity Trust Mortgage Bank depleted by 9.90 per cent to N7.19, John Holt weakened by 9.88 per cent to N2.19, PZ Cussons shed 9.87 per cent to N27.85, May & Baker lost 9.80 per cent to trade at N6.35, and Deap Capital dwindled by 7.14 per cent to 65 Kobo.