Equities rally N128b amid intense bargain-hunting

NIGERIAN equities staged a major recovery yesterday as widespread bargain-hunting for growth and value stocks drove the market to a net capital gain of N128 billion.

For the first time this week, the overall market position at the Nigerian equities market closed positive with average gain of 1.09 per cent.

The recovery came as Nigeria took further drastic steps to curtail possible spread of Coronavirus including travel ban on several countries and increased stimulus support from the Central Bank of Nigeria (CBN). Nigeria’s cases of Coronavirus infection increased to eight persons after confirmation of five new cases yesterday.

Aggregate market value of all quoted equities at the Nigerian Stock Exchange (NSE) rose from its opening value of N11.748 trillion to close at N11.876 trillion, representing a gain of N128 billion. The All Share Index (ASI)- the common value-based index that tracks all share prices at the NSE, increased from its opening index of 22,543.07 points to close at 22,789.64 points. Average year-to-date return moderated to -15.1 per cent.

With 19 advancers to 14 decliners, sectoral indices showed mixed performance. The NSE Banking Index rose by 2.1 per cent. The NSE Oil and Gas Index appreciated by 0.8 per cent. Meanwhile, the NSE Consumer Goods Index declined by 1.5 per cent. The NSE Industrial Goods Index dropped by 1.0 per cent while the NSE Insurance Index dipped by 0.8 per cent.

MTN Communications Nigeria recorded the highest gain of N9.50 to close at N104.50. Guaranty Trust Bank followed with a gain of N1.30 to close at N20.90. Cadbury Nigeria rose by 55 kobo to close at N6.25. PZ Cussons Nigeria added 40 kobo to close at N4.45. Caverton Offshore Support Group appreciated by  22 kobo to close at N2.50 while Oando, Eterna and Custodian Investment rose by N2.21, N2.22 and N5.20 respectively.

On the downside, Nestle Nigeria dropped by N35.30 to close at N880. Okomu Oil Palm lost N4.95 to close at N55.05. Dangote Cement declined by N4.30 to close at N133.40. UAC of Nigeria dropped by 30 kobo to close at N7.20 while Africa Prudential declined by 26 kobo to close at N3.23 per share.

Total turnover declined marginally to 671.5 million shares worth N10.6 billion. Banking stocks dominated the activities’ chart with Guaranty Trust Bank leading with a turnover of 178 million shares worth N3.52 billion. Zenith Bank followed with a turnover of 147 million shares valued at N1.98 billion while Access Bank placed third with 87.96 million shares worth N566 million.

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