- Stocks End Two-day Losses, Gain N54bn
The Nigerian Stock Exchange reversed a two-day decline at the close of trade on Wednesday after the NSE market capitalisation appreciated by N54bn.
The Exchange’s All-Share Index rose 40 basis points to close at37,933.86 points while year-to-date return expanded to 41.2 per cent.
A total of 207.886 million shares valued at N3.386bn exchanged hands in 4,873 deals.
Thus, market capitalisation rose to N13.499tn from N13.445tn recorded on Tuesday.
Analysts at Afrinvest Securities attributed Wednesday’s positive performance to buy interest in large cap stocks – Nestle Nigeria Plc, Guaranty Trust Bank Plc, Seplat Petroleum Development Company Plc and Dangote Cement Plc, which appreciated respectively by 2.1 per cent, 1.5 per cent, five per cent and 0.2 per cent.
However, activity level declined as volume and value traded fell by 68 per cent and 37.6 per cent to 207.866 million units and N3.386bn, respectively.
Performance across sectors was bullish as all indices closed positive.
The oil/gas index appreciated the most, up by 2.5 per cent on the back of price appreciations in Seplat. The consumer goods and insurance indices followed suit, rising by 0.6 per cent and 0.2 per cent, accordingly due to gains in Nestle, Unilever Nigeria Plc, Linkage Assurance Plc and Continental Reinsurance Plc, which soared respectively by 2.1 per cent, 4.5 per cent, five per cent and 0.7 per cent.
Similarly, buy interest in Dangote Cement drove the industrial goods index by 0.1 per cent higher while the banking index marginally improved two basis points following an uptick in GTBank share price.
Thus, investor sentiment strengthened as 23 stocks advanced against 20 stocks that plummeted.
The best performing stocks for the day were Linkage Assurance Plc, Champion Breweries Plc and Seplat, which gained five per cent apiece while Flour Mills Nigeria Plc, PZ Cussons Nigeria Plc and GlaxosmithKline Consumer Plc emerged as the worst stocks, declining by five per cent apiece also.
Further commenting on the market performance, the analysts said, “As noticed, investors took position in stocks that had declined in prior sessions, hence, we expect bargain hunting to continue to drive market performance in subsequent trading sessions.”