Equities market index remains upbeat, gains 0.13%

The Nigerian Stock Exchange (NSE) equities market gained for the third straight session this week, as the All-Share Index (ASI) advanced by 0.13 percent on bargain hunting.

The All-Share Index (ASI) increased by 33.28 basis points, representing a growth of 0.13 percent to close at 25,204.60 basis points. Therefore, the Month-to-Date gain increased to 2.1 percent while Year-to-Date loss moderated to 6.1 percent.

Similarly, the overall market capitalisation size gained N18 billion, representing an increase of 0.14 percent to close at N13.149 trillion. This follows the listing of 2.03 billion additional shares of 50 kobo each at 52 kobo per share of Consolidated Hallmark Insurance Plc.

On sectors, the Consumer Goods (+0.5per cent), Banking (+0.2 percent) and Industrial Goods (+0.03 percent) indices recorded gains, while the Insurance (-0.2 percent) index declined. The Oil & Gas index traded flat.

The upturn was impacted by gains recorded in large and medium capitalised stocks, amongst which are; Chemical and Allied Products (CAP), Stanbic IBTC Holdings, international Breweries, GlaxoSmithKline Consumer Nigeria and Fidson Healthcare.

Market sentiment, as measured by the market breadth, was positive, as 17 stocks gained relative to 11 losers. International Breweries recorded the highest price gain of 10 percent, to close at N3.30, per share. Cutix followed with a gain of 9.71 percent to close at N1.92, while Neimeth International Pharmaceuticals rose by 9.55 percent to close at N1.95, per share.

Livestock Feeds went up by 9.09 percent to close at 60 kobo, while Fidson Healthcare appreciated by 6.74 percent to close at N3.96, per share. On the other hand, Studio Press Nigeria led the losers’ chart by 9.60 percent, to close at N1.79, per share. UACN Property Development Company followed with a decline of 9.47 percent to close at 86 kobo, while the Associated Bus Company lost 8.51 percent to close at 43 kobo, per share.

Royal Exchange lost 7.14 percent to close at 26 kobo, while Japaul Oil and Maritime Services shed 4.76 percent to close at 20 kobo, per share.

However, the total volume traded declined marginally by 0.26 percent to 179.549 million shares, worth N2.526 billion, and traded in 3,055 deals. Transactions in the shares of Transnational Corporation of Nigeria (Transcorp) topped the activity chart with 35.479 million shares valued at N21.470 million. Guaranty Trust Bank followed with 29.938 million shares worth N755.908 million, while Lasaco Assurance traded 11.864 million shares valued at N3.505 million.

FBN Holdings (FBNH)  traded 9.975 million shares valued at 49.931 million, while Zenith Bank transacted 9.648 million shares worth N163.463 million.

Capital market analysts said that the seeming resilience on the exchange in recent times resulted from the better-than-expected corporate earnings reports, buying interests in defensive high cap stocks, and interim dividend-paying equities with yields relatively higher than other investment windows. This is especially as the nation’s rising inflation remains a potent threat to investors’ confidence.

Analysts at Afrinvest Limited said, “We expect the equities market to close the week with slight gains.”