Equities market rises by 0.17% to maintain positive posture

By Kayode Tokede

The Equities market of the Nigerian Exchange Limited on Thursday closed for trading activities on a positive posture, to maintain the previous gaining momentum.

The bullish performance was a result of investors’ interest in all major sectors except the banking sector.

In summary, the All-Share Index (ASI) grew by 65.72 basis points, representing an increase of 0.17 per cent to close at 38,548.24 basis points. Similarly, the overall market capitalisation value gained N34 billion to close at N20.092 trillion.

Sector performances were positive with Consumer Goods (+0.23per cent), Oil and Gas (+0.05per cent) and Industrial (+0.01per cent) sectors all closing up, while Banking (-0.50per cent) sectors closed negatively.

The market upturn was driven by price appreciation in large and medium capitalised stocks amongst which are; MTN Nigeria Communications (MTNN), Berger Paints Nigeria, Nigerian Breweries, Africa Prudential and United Capital.

Analysts at Afrinvest Limited said, “We expect the market to close positive for the week.”

The market sentiment, as measured by market breadth, was positive, as 19 stocks gained, relative to 15 losers. University Press recorded the highest price gain of 10 per cent to close at N1.54, per share. Berger Paints followed with a gain 9.84 per cent to close at N6.70, while John Holt went up by 9.43 per cent to close at 58 kobo, per share.

Associated Bus Company rose by 8.82 per cent to close at 37 kobo, while Africa Prudential gained 6.90 per cent to close at N6.20, per share. On the other hand, Computer Warehouse Group led the losers’ chart by 9.63 per cent to close at N1.69, per share. Union Bank of Nigeria (UBN) followed with a decline of 6.72 per cent to close at N5.55, while Sovereign Trust Insurance lost 6.67 per cent to close at 28 kobo, per share.

Courteville Business Solutions lost 4.76 per cent to close at 20 kobo, while Japaul Gold and Ventures shed 3.39 per cent to close at 57 kobo, per share.

The total volume of trades increased by 59.13 per cent to 249.686 million units, valued at N1.876 billion, and exchanged in 3,524 deals. Transactions in the shares of Sovereign Trust Insurance topped the activity chart with 35.505 million shares valued at N9.725 million. Zenith Bank followed with 27.506 million shares worth N632.282 million, while FCMB Group traded 22.685 million shares valued at N72.231 million.

AXA Mansard Insurance traded 16.868 million shares valued at N15.180 million, while Fidelity Bank transacted 14.540 million shares worth N32.330 million.

• According to analysts at Investment One research,   “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 and developments in the interest rate space.

“We reiterate that this may be a great period to pick up some quality names with a medium to long-term investment horizon.”