NGX Index Rebounds 0.28% Amid Cross Trades by Offshore Investors
By Dipo Olowookere
After closing in the bears’ territory for the past three trading sessions, the Nigerian Exchange (NGX) Limited posted a growth of 0.28 per cent on Wednesday.
The rebound was triggered by bargain hunting yesterday, especially from offshore investors who took interest in local stocks, with a significant number of cross trades witnessed.
Business Post reports that yesterday, FBN Holdings recorded cross deals of about 100 million units, about 39 million units of GTCO and 10 million units of Zenith Bank.
Data from the exchange showed that at the close of transactions, FBN Holdings traded the highest volume of stocks with a turnover of 108.6 million units valued at N1.3 billion.
GTCO transacted 54.1 million shares worth N1.4 billion, United Capital traded 25.3 million stocks worth N308.5 million, Zenith Bank exchanged 22.3 million equities for N595.0 million, while Caverton sold 15.0 million shares for N19.0 million.
In all, investors bought and sold a total of 336.3 million stocks worth N5.9 billion in 5,248 deals at the midweek session compared with the 754.9 million stocks worth N3.6 billion transacted on Tuesday in 4,330 deals, indicating a decline in the trading volume by 55.45 per cent and an increase in the trading volume and number of deals by 61.09 per cent and 21.20 per cent respectively.
During the session, the banking and industrial goods sectors depreciated by 0.04 per cent and 0.01 per cent apiece, while the insurance, consumer goods and energy counters appreciated by 3.50 per cent, 2.07 per cent and 0.11 per cent respectively.
The gains posted by the three sectors pushed the All-Share Index (ASI) of the bourse higher by 132.74 points to 47,287.09 points from 47,154.35 points and raised the market capitalisation by N71 billion to N25.485 trillion from N25.414 trillion.
Unlike the previous day, investor sentiment was better on Wednesday as it was very strong, with the market breadth closing positive after recording 30 price gainers and 12 price losers.
Presco closed as the best-performing stock yesterday with a price appreciation of 10.00 per cent to trade at N114.95, followed by Pharma-Deko, which gained 9.89 per cent to settle at N2.00.
Linkage Assurance appreciated by 9.80 per cent to close at 56 kobo, Royal Exchange grew by 9.63 per cent to N1.48, while RT Briscoe gained 8.93 per cent to sell for 61 kobo.
Conversely, the worst-performing stock was Ellah Lakes with a price decline of 9.92 per cent to trade at N3.45, May and Baker lost 9.91 per cent to sell for N4.91, Neimeth fell by 9.34 per cent to N1.65, Niger Insurance declined by 8.70 per cent to 21 kobo, Cutix dropped 7.26 per cent to N2.30.