Renewed Confidence in Nigerian Stocks Raises NGX by 0.50%

By Dipo Olowookere

The Nigerian Exchange (NGX) Limited maintained its upward movement on Friday with a 0.50 per cent growth at the close of business.

This was heavily influenced by the renewed confidence in Nigerian stocks, as investors are rescinding their decision to sell off a few days ago because of negative signals from the macroeconomic environment.

The slowdown in the intensity of the nationwide protests against bad governance may have given traders fresh signs of renewed hope.

Analysis of the trading data showed that the banking space inspired bargain-hunting yesterday as it closed higher by 1.93 per cent amid the 0.66 per cent loss recorded in the insurance landscape.

The energy index appreciated by 0.71 per cent, the consumer goods counter improved by 0.67 per cent, and the industrial goods sector closed flat.

At the close of transactions, the All-Share Index (ASI) increased by 487.49 points to 98,605.79 points from 98,118.30 points, and the market capitalisation gained N277 billion to settle at N55.986 trillion versus Thursday’s closing value of N55.709 trillion.

Business Post reports that there were 38 price gainers and 18 price losers during the last trading day of the week, implying a positive market breadth index and strong investor sentiment.

The quartet of ABC Transport, Eterna, Julius Berger, and United Capital chalked up 10.00 per cent each to sell for 77 Kobo, N19.80, N110.00, and N15.95, respectively, while MeCure Industries rose by 9.94 per cent to N8.52.

But Union Dicon lost 9.88 per cent to trade at N7.30, University Press declined by 8.79 per cent to N2.18, Custodian Investment shrank by 8.59 per cent to N11.70, Omatek depreciated by 7.14 per cent to 65 Kobo, and AXA Mansard depreciated by 6.85 per cent to N5.03.

A total of 477.4 million shares valued at N8.2 billion exchanged hands in 9,529 deals on Friday compared with the 791.8 million shares worth N15.1 billion transacted in 9,059 deals on Thursday, showing a leap in the number of deals by 5.19 per cent, and a shortfall in the trading volume and value by 39.71 per cent, and 45.70 per cent, respectively.

Veritas Kapital ended the session as the most traded after selling 103.2 million equities for N125.6 million, Oando transacted 52.4 million shares worth N2.1 billion, UBA traded 42.8 million stocks valued at N966.7 million, Zenith Bank exchanged 32.0 million equities worth N1.2 billion, and Access Holdings traded 24.2 million stocks valued at N474.0 million.