The Nigerian equities market breaks nine month record last week as trades on the market indicator on the Nigerian Stock Exchange (NSE), All Share Index (ASI) posted the largest singular gain of 3.18 per cent, thus setting a nine month-high at 28,423.70 points.
Specifically, ASI and Market Capitalisation appreciated by 7.46 per cent to close the week at 28,192.46 basis points and N9.746 trillion respectively, as a total turnover of 3.255 billion shares worth N28.738 billion in 25,370 deals were traded on the floor of the exchange in contrast to a total of 1.154 billion shares valued at N10.439 billion that exchanged hands last week in 16,676 deals
Analysts at Cordros Research attribute the week’s record gain to demand for blue chip stocks across board, most notably, the banking and consumer goods names, as All Share Index has advanced in the last 10 trading sessions, extending gains to the third straight week close at 28,192.46 points.
“Judging by market activity in the past three weeks, and more specifically, the spike in the number of deals and volume traded this week, we sense improved investors, both local and foreign, appetite for risk assets on domestic bourse, following the reduced apprehension in the macroeconomic environment, impressive 2016FY and Q1-2017 performance of highly capitalized names, and increased confidence about the stability and liquidity of the FX,” they said in its weekly report.
A breakdown of the weekly activity indicated that the Financial Services Industry, measured by volume, led the activity chart with 2.716 billion shares valued at N17.230 billion traded in 15,103 deals; thus contributing 83.42 per cent and 59.96 per cent to the total equity turnover volume and value respectively. The Consumer Goods Industry followed with 185.750 million shares worth N6.596 billion in 3,817 deals. The third place was occupied by Conglomerates Industry with a turnover of 156.010 million shares worth N385.427 million in 1,340 deals.
Trading in the Top Three Equities were FBN Holdings Plc, FCMB Group Plc and Zenith International Bank Plc and (measured by volume) accounted for 1.419 billion shares worth N8.185 billion in 5,117 deals, contributing 43.59 per cent and 28.48 per cent to the total equity turnover volume and value respectively
Also traded during the week on the Nigerian Bourse were a total of 948 units of Exchange Traded Products (ETPs) valued at N16,591.16 executed in 14 deals compared with a total of 20 units valued at N110,000.00 transacted last week in a deal.
Also total of 5,201 units of Federal Government Bonds valued at N5.400 million were traded this week in 3 deals, compared with a total of 1,582 units valued at N1.608 million transacted last week in 10 deals.
At the end of the week trade, 57 equities appreciated in price, higher than 43 equities of the previous week. 13 equities depreciated in price, lower than 16 equities of the previous week, while 103 equities remained unchanged lower than 114 equities recorded in the preceding week.