Investors' wealth appreciates by 1.22 per cent in five trading days
BARGAIN hunting in the shares of some banks and insurance stocks, especially Axamansard and Union Bank of Nigeria, lifted the Nigerian Exchange Limited ( NGX) all- share index and market capitalisation appreciated by 1.22 per cent to close the week at 44,492.73 points and N24.234 trillion respectively.
This is in contrast to 0.7 per cent loss suffered by investors at the close of transactions on November 11, 2002.
Similarly, all other indices finished higher with the exception of NGX Insurance, NGX Consumer Goods, NGX Oil & Gas, NGX Lotus II and NGX Industrial Good, which depreciated by 1.34 per cent, 1.05 per cent, 0.84 per cent, 0.19 per cent and 0.66 per cent respectively. The NGX ASEM, NGX Growth and NGX Sovereign Bond indices closed flat.
Specifically, at the close of trading last week, Axa mansard led the gainers’ chart with 15.69 per cent to close at N1.77 kobo while Union Bank followed, adding 13.04 per cent to close at N6.50 kobo. Guaranty Trust Holding Company appreciated by 10.83 per cent to close at N19.45 kobo. Nigerian Breweries garnered 10.29 per cent to close at N41.25 kobo. Unilever also added 10 per cent to close at N1.
However, SCOA topped the losers’ chart, shedding 26.29 per cent to close at N1.20 kobo. Guinness followed with a loss of 18.06 per cent to close at N60.50 kobo. Regency Assurance dropped 14.81 per cent to close at 23 kobo. Unity Bank also depreciated by 12.28 per cent to close at 50 kobo.
Analysts at Vetiva Dealings and Brokerage firm said: "After several sessions of fluctuating activity this week, positive sentiment ultimately prevailed in the market for a positive close.
"Next week, we anticipate a slightly bearish start, as investors take profit on some of this week’s gainers."
However, those in Cordros capital said: "In the week ahead, we believe investors will focus on the outcome of the Monetary Policy Committee ( MPC) meeting scheduled to hold next week to gain further clarity on the movement of yields in the FI market.
"As a result, we envisage a cautious trading theme, especially from domestic investors. Notwithstanding, we reiterate the need for positioning only fundamentally sound stocks as the weak macro environment remains a significant headwind for corporate earnings."
Further breakdown of last week' a trading showed that a turnover of 694.4 million shares worth N8.7 billion was exchanged in 15,418 deals by investors on the floor of the exchange.