Equities market gains 0.11% as Mobil, Seplat, others rally high
By Kayode Tokede
Investors’ positive sentiment persisted on the equities market of the Nigerian Stock Exchange (NSE) on Wednesday with the All-Share Index extending growth by 0.11 per cent.
The NSE All-Share Index improved further by 45.10 basis points or 0.11 per cent to close at 40, 341.05 basis points against 40, 295.95 basis points achieved on Tuesday.
Consequently, the market capitalisation rose by N24 billion or 0.11 per cent to close at N21.094 trillion from N21.069 trillion posted on Tuesday.
Performance across sectors was positive, as all indices in our coverage – Insurance (+4.1 per cent), Oil & Gas (+1.7per cent), Consumer Goods (+0.1 per cent), Industrial Goods (+0.1 per cent) and Banking (+0.1 per cent) – recorded gains.
The market gain was piloted by price appreciation in medium and large capitalised stocks amongst which were: Mobil, Flour Mills, BOC Gases, Seplat and Ardova.
Market breadth closed positive with 32 gainers compared with 16 losers.
Academy Press, Sovereign Trust Insurance and Veritas Kapital Assurance dominated the gainers’ chart in percentage terms, gaining 10 per cent each to close at 33k, 22k and 22k per share, respectively.
BOC Gases followed with 9.92 per cent to close at N12.52, while Champion Breweries rose by 9.80 per cent to close at N1.12 per share.
On the other hand, Chellarams led the losers’ chart in percentage terms losing 9.96 per cent to close at N2.26 per share. Livestock Feeds followed with a loss of 9.74 per cent to close at N1.76, while Consolidated Hallmark Insurance shed 8.82 per cent to close at 31k per share. FTN Cocoa shed 5.88 per cent to close at 64k, while Cutix lost five per cent to close at N2.09 per share.
However, the total volume of shares traded declined by 59.9 per cent to 468.15 million shares valued N6.96 billion exchanged in 5,697 deals.
This was against 1.17 billion shares worth N7.97 billion transacted in 5,591 deals on Tuesday.
Transactions in the shares of Zenith Bank topped the activity chart with 45.77 million shares valued N1.19 billion.
Lasaco Assurance followed with 40.73 million shares worth N17.02 million, while United Bank for Africa traded 31.82 million shares valued N283.11 million.
Japaul Gold and Ventures traded 20.98 million shares valued N26.64 million, while Sovereign Trust Insurance transacted 19.06 million shares worth N4.19 million.
“The equities market closed up today due to the gains recorded in most sectors.
“Going forward, we expect investor’s sentiments to be swayed by the search for real positive returns amidst a low interest-rate environment.
“Nonetheless, we reiterate that this may be a great period to pick up some quality names with a medium to long-term investment horizon,” analysts at InvestmentOne Research added.
