Stock market rebounds as investors rake in N986bn gain

By Peter Egwuatu  

The Nigerian banal market rebounded past week, arsenic investors’ portfolio worth accrued by implicit N986 cardinal successful the 5 trading days.

A large show indicator, Nigerian Exchange Limited, NGX All Share Index, ASI closed higher, Week connected Week, WoW, successful 4 of the 5 trading sessions, thereby ending a four-week losing streak.  

The renewed affirmative sentiment saw investors taking positions successful stocks offering charismatic introduction points. Consequently, the benchmark index  

, ASI precocious by 1.2%  WoW to 140,545.69 points,  driven by gains successful WAPCO, which went up by 13.3%, Zenith  Bank 4.8% , UBA 4.2% and Dangote Sugar 9.1%.

Another show indicator, marketplace capitalisation, which measures full worth of concern owned by investors successful the NGX  accrued to N88.922 trillion from N87.936 trillion the erstwhile week.

Consequently, the Month-to-Date, MtD and Year-to-Date returns improved to 0.3% and 36.7%, respectively.

  On trading activities, some measurement and worth declined by 37.7% WoW and 39.5% WoW, respectively.  

Sectoral show was broadly positive, with gains recorded crossed sectors.

Oil & Gas Index up by 2.4%, Insurance Index 2.4%, Banking Index1.7%, Industrial Goods Index 1.1% and Consumer Goods Index1.0%.

Reacting to marketplace performance, analysts astatine Cordros Capital said: This week, capitalist sentiment is expected to stay cautious, with portfolio flows skewed toward fundamentally justified stocks offering compelling introduction opportunities. 

Market absorption volition besides displacement to the August ostentation print, wherever grounds of sustained disinflation could reenforce expectations of a imaginable Monetary Policy Committee MPC complaint chopped aboriginal this month”.

In its comment, analysts astatine InvestData Consulting Limited stated: “Looking ahead, marketplace show is expected to stay mixed successful the coming week arsenic investors proceed to rebalance their portfolios up of the merchandise of much third-quarter net reports. Bargain hunters are apt to instrumentality vantage of terms pullbacks successful fundamentally dependable stocks, adjacent arsenic profit-taking persists successful a fewer large-cap counters. 

The absorption of the marketplace volition beryllium mostly connected the spot of incoming net results, macroeconomic developments, and the question successful crude lipid prices, which proceed to signifier capitalist sentiment”.

The station Stock marketplace rebounds arsenic investors rake successful N986bn gain appeared archetypal connected Vanguard News.