Equities Market Opens week Positive with N28bn Gain

The local stock market yesterday began the week on a positive note as the price uptick in MTN Nigeria Communications (MTNN) Plc and 12 others drove the overall market capitalization higher by N28 billion.

The All-Share Index rose by 50.85 per cent, representing a gain of 0.05 per cent, to close at 98,176.58 points. Similarly, the overall market capitalisation value gained N28 billion to close at N55.536 trillion.

The market’s positive performance was driven by price appreciation in large and medium-capitalised stocks which are; MTNN, Transcorp Hotels, Berger Paints Nigeria, PZ Cussons Nigeria and Nigerian Breweries.

This week, United Capital Plc said “We expect the bearish sentiments amongst investors to persist in the local equities market given the recent developments in the fixed-income market.

“The impact of the high yields in the fixed-income market will continue to drive sell-offs as investors switch their asset classes to less risky assets. However, we expect pockets of bargain-hunting activities across dividend-paying stocks, in anticipation of the corporates’ qualification and payment dates.”

However, market breadth was negative, as 13 stocks gained relative to 28 losers. McNichols recorded the highest price gain of 10 per cent to close at N1.10, per share. Berger Paints followed with a gain of 9.72 per cent to close at N13.55 and Regency Alliance Insurance was up by 9.68 per cent to close at 34 kobo, per share.

Wapic Insurance rose by 6.15 per cent to close at 69 kobo, while Cornerstone Insurance was up by five per cent to close at N2.10, per share.

On the other hand, Champion Breweries led the losers’ chart by 10 per cent to close at N2.97, per share. CI Leasing followed with a decline of 9.80 per cent to close at N3.13, while Sovereign Trust Insurance lost 9.76 per cent to close at 37 kobo, per share.

Chams Holding Company declined 9.64 per cent to close at N1.50, while RT Briscoe shed 9.62 per cent to close at 47 kobo, per share.

The total volume traded increased by 188.17 per cent to 405.662 million units, valued at N6.689 billion, and exchanged in 8,439 deals. Transactions in the shares of Access Holdings topped the activity chart with 201.311 million shares valued at N3.406 billion. Transnational Corporations (Transcorp) followed with 38.209 million shares worth N435.754 million, while Zenith Bank traded 15.263 million shares valued at N484.710 million.

Nigerian Breweries traded 13.736 million shares valued at N316.277 million, while Jaiz Bank transacted 13.680 million shares worth N30.222 million.