NSE LIVE! Equities’ rally gathers momentum with N117bn gain

Nigerian equities continued on the uptrend on Tuesday as increased demand sustained the price rally at the Nigerian stock market to the eighth consecutive trading session. With four advancers to every loser, equities rallied net capital gain of N117 billion on Tuesday.

The All Share Index (ASI)-the value-based common index that tracks prices at the Nigerian Stock Exchange (NSE), rose by 1.28 per cent from its opening index of 26,418.33 points to close at 26,756.21 points. Aggregate market value of all quoted equities also rose correspondingly from N9.132 trillion to close at N9.249 trillion, representing a gain of N117 billion. Average year-to-date return improved to -0.44 per cent.

Nearly all sectoral indices closed on the upside, underlining the widespread buying sentiments. The Banking Index rose by 2.2 per cent. The NSE Oil & Gas Index rallied by 0.7 per cent. The NSE Insurance Index and the NSE Consumer Goods Index appreciated by 0.7 per cent each. However, the NSE Industrial Goods Index slipped by 0.3 per cent.

There were 34 gainers against eight losers. The rally on Tuesday was led by many highly capitalised stocks. Dangote Cement, Nigeria’s most capitalised quoted company, led gainers with a gain of N2.50 to close at N162. Nigerian Breweries, the second most capitalised quoted company, followed with a gain of N2 to close at N132. Oando rose by 80 kobo to close at N8.69. Okomu Oil Palm appreciated by 72 kobo to close at N48.52. PZ Cussons Nigeria chalked up 70 kobo to close at N15.70 per share. Guaranty Trust Bank, the most capitalised banking stock, rose by 45 kobo to close at N27.50. Access Bank added 33 kobo to close at N7.14. United Bank for Africa rose by 28 kobo to close at N6.50. Ecobank Transnational Incorporated gathered 26 kobo to close at N8.15 while Cement Company of Northern Nigeria chalked up 22 kobo to close at N4.73 per share.

However, Total Nigeria led the losers with a loss of N6 to close at N249. Seven-Up Bottling Company lost N1.89 to close at N102. Lafarge Africa declined by N1.10 to close at N48.50. Dangote Sugar Refinery dropped by 24 kobo to close at N6.46. Presco dropped by 10 kobo to close at N46.90 per share. Linkage Assurance dropped by 2.0 kobo to close at 52 kobo while Diamond Bank and Custodian and Allied lost one kobo each to close at 84 kobo and N3.10 respectively.

Total turnover was above average with the exchange of 539.23 million shares valued at N2.82 billion in 4,519 deals. Banking stocks dominated the top activities chart. FCMB Group was the most active with 243.86 million shares valued at N239.40 million. Zenith Bank followed with 52.3 million shares worth N856.16 million while United Bank for Africa placed third with 42.5 million shares valued at N274.51 million.

Analysts said the continuous positive momentum in equities suggests improved investors’ appetite for equities.

“We see an increasing likelihood of profit taking by investors in subsequent sessions but maintain a positive short term perspective for equities,” Afrinvest Securities stated.

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