Stock Market Return Spikes amidst Renewed Bullish Activities

Stock Market Return Spikes amidst Renewed Bullish Activities

The Nigerian stock market returns spikes amidst renewed bullish activities supported by the monetary policy committee decision to maintain status quo on benchmark interest rate.

Year to date return strengthened to 27.94% as equity benchmark index halted the negative movements seen in the last few days, notching higher by 64bps to 34,340.56pts.

Precisely, today’s gain is the first in the last four consecutive trading sessions.

Analysts at Chapel Hill Denham said huge portion of the gains came from investor’s renewed interest in tier 1 and tier 2 banking stocks.

Against that backdrop, the market return rose slightly to 27.94% and still on course to close the year positive – the first since 2017.

Similarly, the NSE market capitalisation expanded to ₦17.943 trillion as investors gained ₦113 billion.

The blend of United Capital Plc (+9.52% to ₦4.60), Fidelity Bank Plc (+9.47% to ₦2.66), and Mutual Benefits Assurance Plc (+8.70% to ₦0.25) were today’s top gaining stocks.

Meanwhile, ETERNA Plc (-9.98% to ₦4.15), Fidson Healthcare Plc (-9.81% to ₦4.87), and Champion Breweries Plc (-9.43% to ₦0.96) were today’s top losers.

Unlike the previous session, performance across our coverage universe was broadly positive, with 5 of 5 of our coverage indices closing in the green terrain.

Specifically, the NSE insurance, NSE oil & gas, NSE consumer goods, NSE banking, and NSE industrial goods indices were positive, advancing by 202bps, 3bps, 10bps, 218bps, and 6bps, respectively.

The foregoing was driven by MBENEFIT, OANDO, DANGSUGAR, UBA, and WAPCO, respectively.

The market’s activity was weaker when compared to the prior session, with volume traded moderating by 35.67% to 365mn, valued at ₦4.692bn.

Today’s most traded stocks by volume were Zenith Bank Plc (71.93mn units), Transnational Corp of Nigeria Plc (37.17mn units), and Guaranty Trust Bank Plc (30.00mn units).

On the other hand, the top traded stocks by value are Zenith Bank Plc (₦1.730bn), Guaranty Trust Bank Plc (1.022bn), and Access Bank Plc (₦0.243bn).

Read Also: Year-to-date loss worsen as stock market cap drops to N12.8 trn

Elsewhere, the Chapel Hill Denham’s Paramount Equity Fund (PEF) declined by 1.10%, while the Women Investment Fund (WIF) was flat.

Stock Market Return Spikes amidst Renewed Bullish Activities