Equities market gains 2.92% in one week

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By Kayode Tokede

The Nigerian Stock Exchange (NSE) All-Share Index gained 2.92 per cent to close last week at 26,319.34 basis points from 25,572.57 basis points.

In sharp contrast to the record sell-offs across global markets, the equities market recorded their best weekly performance in four months, crossing 26,000 basis points for the first time since March 2020.

Amidst a sharp drop in fixed income yields following further monetary easing by the MPC, the stock market recorded a significant increase in activity with total volumes and value traded surging by 46.3% and 68.9% w/w, respectively.

Notably, investors interest in large caps NB (+25.1 per cent), MTN Nigeria (+3.3 per cent) and DANGCEM (+3.0 per cent) drove the benchmark.

The MTD and YTD returns for the index currently stand at 3.9 per cent and -1.9 per cent respectively.

Accordingly, the Consumer Goods (+6.0 per cent) index topped the sectoral charts, followed by the Banking (+3.6%), Industrial Goods (+2.4 per cent), Oil & Gas (+1.2 per cent) and Insurance (+1.1 per cent) indices.

The NSE weekly report stated that, “A total turnover of 1.567 billion shares worth N20.559 billion in 18,396 deals were traded this week by investors on the floor of the Exchange, in contrast to a total of 1.139 billion shares valued at N12.692 billion that exchanged hands last week in 17,109 deals.

“The Financial Services industry (measured by volume) led the activity chart with 1.178 billion shares valued at N9.180 billion traded in 9,900 deals; thus contributing 75.14per cent and 44.65 per cent to the total equity turnover volume and value respectively.

“The Consumer Goods industry followed with 90.002 million shares worth N1.688 billion in 2,715 deals. The third place was the ICT industry, with a turnover of 84.667 million shares worth N5.786 billion in 771 deals.

“Trading in the top three equities namely Sterling Bank, FBN Holdings Plc and Zenith Bank Plc. (measured by volume) accounted for 612.805 million shares worth N4.311 billion in 3,739 deals, contributing 39.10 per cent and 20.97 per cent to the total equity turnover volume and value respectively.

“A total of 119,603 units valued at N1.228 million were traded this week in 16 deals compared with a total of 143,690 units valued at N1.246 billion transacted last week in 19 deals.

“A total of 467 units valued at N564.073.49 were traded this week in five deals compared with a total of 18,803 units valued at N19.581 million transacted last week in eight deals.”