Investors gain N213.37bn  amid improved market breadth

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Nigerian Stock Exchange (NSE) equities market on Wednesday closed on a positive note for the second straight session with a gain of N213 billion on sustained bargain hunting in high capitalised stocks.

The All-Share Index (ASI) gained 402.14 basis points, representing a gain of 1.03 per cent to close at 39,512.31 basis points.

Similarly, the overall market capitalisation value also appreciated by N213 billion to close at N20.660 trillion.

In terms of sectoral performance, the Industrial Goods (+3.7per cent), Insurance (+3.0 per cent) and Consumer Goods (+0.4 per cent) indices recorded gains, while the Banking (-0.7 per cent) and Oil & Gas (-0.4 per cent) indices declined.

The uptrend was also driven by price appreciation in medium and large capitalised stocks amongst which are; BUA Cement, International Breweries, Eterna, C&I Leasing and NEM Insurance.

Analysts at Afrinvest Limited said “We expect the positive performance to be sustained in the last trading session of the year.”

Market breadth closed positive, 24 stocks posted gains while 19 stocks posted declines. Eterna, International Breweries and BUA Cement recorded the highest price gain of 10 per cent each to close at N5.61, 59 kobo and N70.40, respectively, per share. C&I Leasing followed with a gain 9.74 per cent to close at N4.73, while Japaul Gold and Ventures went up by 9.62 per cent to close at 57 kobo, per share.

On the other hand, FTN Cocoa Processors led the losers’ chart by 9.88 per cent, to close at 73 kobo, per share. Deap Capital Management & Trust followed with a decline of 7.41 per cent to close at 25 kobo, while Honeywell Flour Mill declined by 6.77 per cent to close at N1.27, per share.

Flour Mills of Nigeria lost 5.45 per cent to close at N26.00, while Union Bank of Nigeria (UBN) shed 5.36 per cent to close at N5.30, per share.

Meanwhile, the total volume traded declined by 48.39 per cent to 372.934 million shares, worth N11.503 billion, and traded in 5,186 deals. Transactions in the shares of United Bank for Africa (UBA) topped the activity chart with 60.57 million shares valued at N524.734 million. Dangote Cement followed with 33.166 million shares worth N8.041 billion, while  Zenith Bank traded 27.541 million shares valued at N690.852 million.

Access Bank traded 24.446 million shares valued at N215.021 million, while Transnational Corporation of Nigeria (Transcorp) transacted 20.977 million shares worth N19.208 million.

“The equities  market closed up today due to the gains recorded in the Industrial and Consumer Goods 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 Investment One research explained.