Nigerian Exchange Rebounds 1.44% Amid Weak Investor Sentiment

By Dipo Olowookere

The Nigerian Exchange (NGX) opened the week on a positive note after closing higher by 1.44 per cent on Monday to reverse the previous session’s loss.

The growth was chiefly triggered by gains in Dangote Cement, which lifted the industrial goods sector by 5.68 per cent. The insurance space rose by 1.28 per cent, the banking index appreciated by 0.25 per cent, and the energy segment grew by 0.22 per cent, while the consumer goods counter declined by 0.03 per cent.

When trading activity ended for the day, the All-Share Index (ASI) increased by 3,579.52 points to 252,456.74 points from 248,877.22 points, and the market capitalisation went up by N2.324 trillion to N163.918 trillion from N161.594 trillion.

Business Post reports that the market breadth index was negative yesterday after Customs Street recorded 20 price gainers and 28 price losers, representing weak investor sentiment.

AXA Mansard gained 975 per cent to quote at N12.95, Sovereign Trust Insurance appreciated by 9.74 per cent to N2.14, Dangote Cement grew by 9.61 per cent to N1,469.90, Oando soared by 8.46 per cent to N35.90, and Fidelity Bank added 6.85 per cent to settle at N24.95.

On the flip side, Thomas Wyatt lost 9.62 per cent to close at N2.35, University Press slumped 8.70 per cent to N4.20, Fortis Global Insurance depreciated by 7.38 per cent to N1.38, The Initiates crashed by 6.88 per cent to N25.05, and Zichis went down by 5.59 per cent to N16.05.

Market activity improved on Monday after investors transacted 453.3 million equities worth N30.6 billion in 42,891 deals compared with 377.7 million equities valued at N26.9 billion executed in 32,666 deals last Friday, showing a rise in the trading volume, value, and number of deals by 20.02 per cent, 13.76 per cent, and 31.30 per cent, respectively.

Chams was the most active stock yesterday, with a turnover of 72.6 million units worth N222.6 million. First Holdco exchanged 42.1 million units for N4.6 billion, Access Holdings sold 39.0 million units valued at N1.1 billion, Japaul transacted 33.1 million units worth N80.6 million, and Honeywell Flour traded 25.1 million units valued at N728.6 million.