Santa Claus rally: Equities investors gain N93.1 billion. The domestic equities market consolidates on Friday gains, posts a positive performance on Monday on the back of share appreciation in NESTLE (+2.8%), SEPLAT (+8.8%) and DANGCEM (+1.1%).
As a result, the Nigerian Stock Exchange www.nse.com.ng All-Share Index (ASI) rose 0.7% to 26,609.34 points while year to date (YTD) return improved to -15.3%.
Similarly, market capitalisation increased by N93.1 billion to N12.8 trillion.
Activity level also improved as volume and value traded advanced 72.0% and 136.4% to 382.8 million units and N7.2 billion respectively.
The top traded stocks by volume were TRANSCORP (138.9 million units), GUARANTY (48.4 million units) and ACCESS (45.0 million units) while DANGCEM (N1.6 billion), MTNN (N1.5 billion) and GUARANTY (N1.4 billion) were the top traded stocks by value.
Sector performance was bullish as 4 of 6 indices under Afrinvest analysts’ coverage closed in the green. The Oil & Gas index gained the most, up 5.1%, due to price appreciation in SEPLAT (+8.8%) and OANDO (+1.4%).
Similarly, the Consumer Goods, Insurance and Industrial Goods indices trailed, gaining 2.1%, 1.0% and 0.4% respectively, driven by buying interest in NESTLE (+2.8%), NEM (+10.0%) and DANGCEM (+1.1%).
On the flip side, the Banking and AFR-ICT indices lost 0.7% and 0.5bps respectively on the back of declines in UBN (-9.6%), ACCESS (-2.0%) and CHAMS (-0.02%).
Investor sentiment as measured by market breadth (advance/decline ratio) weakened to 2.0x from 2.7x recorded on the previous trading day as 24 stocks gained while 12 declined.
The top performing stocks were UNIONDAC (+10.0%), NEM (+10.0%) and ETERNA (+10.0%) while CILEASING (-10.0 %), LEARNAFRICA (-9.6%) and UBN (-9.6%) declined the most.
Afrinvest said despite the positive performance recorded in today’s trading session, we believe bearish sentiment will resurface as investors’ appetite towards the local bourse remains weak.