NGX Rallies by 0.30% on Buy Interest in Financial Stocks

By Dipo Olowookere

Buy interest in financial stocks further buoyed the Nigerian Exchange (NGX) Limited by 0.30 per cent on Monday as investors look forward to half-year results of firms on the platform.

The domestic equity market appreciated during the session despite the National Bureau of Statistics (NBS) revealing that inflation in June increased by 34.19 per cent amid soaring prices of food items.

Stock traders were not deterred as they maintained their bargain-hunting posture, leaving the All-Share Index (ASI) higher at 99,971.64 points compared with the preceding day’s 99,671.28 points, indicating an increase of 300.36 points. The market capitalisation grew by N170 billion to close at N56.611 trillion versus last Friday’s value of N56.441 trillion.

The banking counter appreciated by 1.32 per cent and the insurance index expanded by 0.08 per cent, while the consumer goods, energy, and industrial goods sectors depreciated by 0.05 per cent, 0.04 per cent, and 0.02 per cent, respectively.

During the session, 29 equities ended on the gainers’ chart and 15 equities closed on the losers’ log, representing a strong investor sentiment and a positive market breadth index.

Cutix rose by 9.96 per cent to N5.08, Ikeja Hotel appreciated by 9.45 per cent to N6.95, Royal Exchange gained 8.96 per cent to finish at 73 Kobo, Sunu Assurances improved by 8.40 per cent to N1.29, and Red Star Express surged by 8.15 per cent to N4.38

Conversely, Chellarams declined by 9.76 per cent to N3.70, Abbey Mortgage Bank weakened by 7.04 per cent to N2.51, Jaiz Bank dropped 5.78 per cent to N2.12, Ellah Lakes plunged by 5.36 per cent to N3.00, and International Breweries slumped by 4.20 per cent to N3.88.

A total of 362.4 million shares worth N7.4 billion were transacted in 8,405 deals yesterday versus the 420.9 million shares valued at N6.8 billion traded in 7,617 deals last Friday, implying a decline in the trading volume by 13.90 per cent, and a growth in the trading value and number of deals by 8.82 per cent and 10.35 per cent, respectively.

The busiest stock for the trading session was GTCO, which commenced its public offer on Monday, selling 66.9 million units valued at N3.1 billion. Access Holdings exchanged 44.5 million units worth N854.4 million, FCMB transacted 26.7 million units valued at N203.1 million, Japaul sold 21.5 million units worth N41.7 million, and UAC Nigeria traded 20.3 million units for N287.8 million.