NGX extends bullish run with N88bn growth

0

The nation’s bourse extended its bullish run on Tuesday with the market capitalisation increasing by N88 billion due to buy-interest in bellwether stocks.

Specifically, the market capitalisation, which opened at N20.330 trillion, inched higher by N88 billion to close at N20.418 trillion.

Similarly, the All-Share Index rose by 167.56 points or 0.43 per cent to close at 39,015.58 from 38,848.02 posted on Monday.

Accordingly, the month-to-date and year-to-date losses moderated to 0.1 per cent and 3.1 per cent, respectively.

The market gain was driven by price appreciation in large and medium capitalised stocks including: MTN Nigeria Communications (MTNN), Zenith Bank, Guaranty Trust Bank, PZ Cussons and Ardova Plc.

Commenting on the performance, analysts at Afrinvest Ltd. maintained their bearish outlook in the equities market in spite of the two-day rally.

“Despite the positive performance in the last two trading sessions, we maintain our bearish outlook given the expected rise in marginal rates at the bond auction on Wednesday,” they said.

Market sentiment was positive with 24 stocks gainers in contrast with 13 losers.

Honeywell Flour Mill and PZ Cussons Nigeria drove the gainers’ chart in percentage terms with 10 per cent each to close at N1.30 and N4.50 per share, respectively.

Sovereign Trust Insurance trailed with a gain of eight per cent to close at 27k per share.

NEM Insurance rose by 7.50 per cent to close at N2.15, while John Holt appreciated by 5.88 per cent to close at 54k per share.

On the other hand, Royal Exchange led the losers’ chart in percentage terms, losing 10 per cent to close at 36k per share.

Portland Paints & Products Nigeria followed with a loss of 9.90 per cent to close at N2.64, while FTN Cocoa Processors declined by 8.89 per cent to close at 41k per share.

Chams shed 4.55 per cent to close at 21k, while Livestock Feeds depreciated by 2.70 per cent to close at N1.80 per share.

In spite of the growth in market indices, the total volume of trades decreased by 33.35 per cent with 339.02 million shares valued at N2.70 billion exchanged in 4,203 deals.

This was in contrast with a total of 504.64 million shares worth N32.10 billion transacted in 4,324 deals on Monday.

Transactions in the shares of Fidelity Bank topped the activity chart with 125.26 million shares valued at N265.64 million.

Zenith Bank followed with 26.18 million shares worth N574.96 million, while UACN traded 25.82 million shares valued at N280.34 million.

Guaranty Trust Bank sold 22.76 million shares worth N683.07 million, while FBN Holdings transacted 21.12 million shares worth N161.58 million.