Nigerian Stock Exchange Index Gains 0.24% as Market Opens on Bullish Note

Nigerian Stock Exchange Index Gains 0.24% as Market Opens on Bullish Note

Nigerian Stock Exchange Index Gains 0.24% as Market Opens on Bullish Note

The Nigerian equities market opened for the week on a bullish note as investors reacted to the positive Gross Domestic Product (GDP) growth rate in the third quarter (Q3) 2017. The country’s GDP grew by 1.40 per cent in Q3, 2017 higher than the revised growth rate of 0.72 per cent recorded in Q2, 2017.

Buoyed by the positive news, investors increased demand for stocks. Consequently, the Nigerian Stock Exchange (NSE) All-Share Index (ASI) appreciated by 0.24 per cent to close at 36,792.60, while market capitalisation closed higher at N12.81 trillion. The appreciation recorded in the share prices of FBN Holdings, Nestle, PZ Cussons, UBA, and Zenith Bank was mainly responsible for the gain.

In all, 17 stocks appreciated, while 15 depreciated. PZ Cussons led the price gainers with 10.2 per cent, trailed by NASCON Allied Industries Plc with 9.5 per cent. Eterna Plc rose by 4.7 per cent, just as Diamond Bank Plc, NEM Insurance Plc Chalked up 4.5 per cent. Dangote Sugar Refinery Plc and May & Baker Nigeria Plc garnered 4.3 per cent and 3.5 per cent respectively among others.

Conversely, Forte Oil Plc led the price losers with 9.7 per cent, trailed by Law Union & Rock Insurance Plc with 4.6 per cent. Unity Bank Plc shed 3.7 per cent, while Learn Africa Plc Plc went down by 2.0 per cent.

However, the total value of stocks traded went down by 61 per cent to N2.45 billion invested in 208.70 million shares in 2,993 deals, down from N6.31 billion last Friday. The three most actively traded sectors were: Financial Services (175.47 million shares), Consumer Goods (21.42 million shares), and Conglomerates (5.63 million shares), while the three most actively traded stocks were: Custodian and Allied Insurance (40.45 million shares), FBN Holdings Plc (27.45 million shares) and Fidelity Bank (23.46 million shares)

In terms of sectoral performance, across sectors was broadly positive as three of the five indices closed northwards, while one declined another one was flat.

The NSE Banking Index and NSE Consumer Goods Index appreciated 0.5 per cent apiece. Similarly, the NSE Insurance Index gained, inching 0.4 per cent higher. On the flip side, the NSE Oil & Gas Index was the lone loser, shedding 1.1 per cent.

Analysts at Meristem Securities Limited said positive sentiments on stocks in the consumer goods and banking space strengthened the positive momentum of the bourse at the close of trades on Monday.

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