- Nigerian Stock Exchange Rebounds, Gains N41bn
The Nigerian stock exchange rebounded on Thursday, boosted by a series of positive third quarter financial report released in the banking sector and a surge in oil prices that bolstered shares of oil companies.
The Nigerian stock exchange market capitalisation rose by N41 billion to N9.479 trillion from N9.43 trillion on Thursday, while the gauge, NSE All-Share Index appreciated from 27,478.04 basis points to 27,598.34.
Investors have attributed the improvement to the nine-month 2016 earnings of GTBank, which announced N120 billion profit in nine months ended September, coupled with 3.67 percent advances in FCMB Group Plc and a 1.44 percent profit in Access Bank Plc.
On what will shape today’s trading session, analysts at Vetiva Capital Management Plc, said, “We highlight that market sentiment turned around, particularly within the banking sector following earnings release from GTB – a pointer of what to expect from other banks.”
“We think this underscores our erstwhile view that investors currently maintain a wait-and-see approach to Q3 earnings and believe this approach will persist in the sessions ahead.”
Meanwhile, improved market liquidity aid reduction of the interbank rate call by 409 basis points to 14.83 percent, while in the foreign exchange interbank market, the Naira remains unchanged against the greenback at N304.75.