NGX Gains N150.8 Billion over Bargain Hunting in Dangote Cement
The Nigerian Exchange jumps N151 billion Wednesday, supported by buying interest in blue-chip companies stocks. This marks the second trading session in the week that the stock market rally after a negative outturn on Monday.
Market data shows that bullish momentum continues following bargain hunting in DANGCEM (+2.2%), lifted the benchmark index higher by 0.7% to 39,170.95 points.
Consequently, month-to-date gain increased to 1.9%, while year-to-date loss moderated to -2.7%.
The total volume of trades decreased by 16.9% to 181.53 million units, valued at NGN3.96 billion, and exchanged in 3,217 deals.
ZENITHBANK was the most traded stock by volume at 20.76 million units, while NESTLE was the most traded stock by value at NGN1.41 billion.
Sectoral performance was broadly positive, as the Industrial Goods (+1.3%), Banking (+1.3%), Insurance (+0.4%), and Consumer Goods (+0.3%) indices recorded gains. In contrast, the Oil & Gas index was flat.
As measured by market breadth, market sentiment was positive (4.2x), as 25 tickers gained relative to 6 losers. CUTIX (+10.0%) and OKOMUOIL (+9.8%) topped the gainers’ list, while SOVRENINS (-3.6%) and JAIZBANK (-3.4%) recorded the most significant losses of the day.
Bullish Sector Performance
Afrinvest said performance across sectors under its coverage was bullish as 5 indices gained while the AFR-ICT index closed flat. Leading the gainers was the Industrial Goods index, up 1.3% due to buying interest in DANGCEM (+2.2%) and WAPCO (+4.2%).
In the same vein, the Banking and Insurance indices gained 1.3% and 0.4% respectively on the back of price appreciation in GUARANTY (+1.8%), STANBIC (+1.1%), MBENEFIT (+4.6%), and NEM (+0.5%).
Similarly, the Consumer Goods and Oil & Gas indices rose by 0.3% and 3bps respectively due to price uptick in FLOURMILL (+2.7%), NASCON (+7.4%), CONOIL (+10.0%), and OANDO (+0.3%)
Investor Sentiment Strengthens
Investor sentiment as measured by market breadth strengthened to 4.2x from 0.9x in the last trading session as 25 stocks advanced while 6 stocks declined.
CUTIX (+10.0%), OKOMUOIL (+9.8%), and UBN (+9.4%) led gainers while SOVERENINS (-3.6%), JAIZBANK (-3.4%), and FCMB (-1.6%) led decliners.
“In the coming trading session, we expect the positive performance to be extended on the back of bargain hunting activities in the market”, Afrinvest said.
NGX Gains N150.8 Billion over Bargain Hunting in Dangote Cement
