NGX market opens week on positive note with N79bn Gain

The Nigerian Exchange Ltd. (NGX) kicked off the week with a bullish trend, as market capitalisation advanced by N79 billion or 0.14% to close at N56.536 trillion, up from the previous N56.457 trillion.

Similarly, the All-Share Index (ASI) gained 0.14%, adding 139 points to settle at 98,386.60 points, compared to the 98,247.99 points recorded last Friday. As a result, the Year-To-Date (YTD) return rose to 31.58%.

Key drivers of this positive performance include investor interest in equities such as FBN Holdings, United Bank for Africa (UBA), Fidelity Bank, Nigeria Breweries, and Transnational Corporation. The market breadth closed on a positive note with 32 gainers against 20 losers.

Top Gainers and Losers

– Gainers: FCMB and McNichols led the gainers’ chart, each rising by 10% to close at N8.89 and N1.87 per share, respectively. Fidelity Bank followed with a 9.93% increase to close at N14.95. Tantalizers gained 9.84%, closing at 67k, while Flour Mill advanced by 9.81% to N55.40 per share.

– Losers: On the flip side, Berger Paints led the decliners’ list, losing 9.83% to close at N21.10. Daar Communications trailed, dropping 9.33% to close at 68k per share. Deap Capital Management and Trust Plc fell by 9.09%, Secure Electronic Technology Plc by 7.46%, and Honeywell Flour lost 5.12%, closing at N4.63 per share.

Market Activity

The value of trades dipped by 18.06%, with 810.43 million shares worth N8.29 billion exchanged in 10,669 deals. This was lower than the previous session’s 554.22 million shares valued at N10.12 billion across 8,670 deals. Mecure led the activity chart with 400.08 million shares valued at N2.78 billion.

Outlook

Analysts at Cowry Asset Management Ltd. anticipate continued bullish sentiment throughout the week, driven by portfolio rebalancing and strategic positioning in value-driven stocks. The recent dip in inflation, along with favorable quarter-end activities, suggests investor optimism may persist, creating opportunities for those seeking fundamentally sound investments.

“However, we advise caution as market volatility remains a key factor.

“Investors should maintain a focus on quality stocks with strong growth prospects to navigate potential swings effectively,”they said.(NAN)