By Peter Egwuatu
The equities market on the Nigerian Stock Exchange, NSE remained bullish Tuesday as the NSE All Share Index, ASI up by 0.19 percent to close at 37,017.78 points.
This is the fourth consecutive day that the market has closed green, thus making it the longest winning streak since June 7th, as investors’ reaction to positive earnings continue to spur gains.
As a result, the Month-to-Date, MtD and Year-to Date,YtD returns improved to -3.29 percent and -3.20 percent, respectively.
Among sectorial indices, the Consumer Goods Index gained 2.19 percent, owing to the 6.52 percent upturn in Nestle Nigeria shares, following its impressive performance in its first half, H1, 2018 results, which showed a 29.67 percent increase in Profit After Tax, PAT to N29.78 billion. The Insurance index up by 1.27 percent, Oil & Gas 1.22 percent, and Industrial Goods Index garnered 0.09 percent, owing to demand for Equity Assurance which gained 10.00 percent, Seplat Petroleum 2.40 percent , and Cement Company of Northern Nigeria, CCNN 3.33 percent stocks, respectively.
On the flip side, sell pressure in Diamond Bank shares, which dropped by 10.00 percent led to the decline in the Banking Index which declined by 1.42 percent.
Market breadth turned negative, with 24 losers and 17 gainers, led by Okomu Oil shedding -10.00 percent or N8.30 per share to close at N74.70 per share.
Beta Glass trailed with a loss of N1.05 per share to close at N76.95 per share while PZ Industries was down by 90 kobo per share to close at N15.10 per share.
Zenith International Bank lost 70 kobo per share to close at N23.00 per share, while Flour Mills Nigeria also depreciated by 70 kobo per share to close at N28.70 per share.
However, the volume of shares traded closed lower with an exchange of 244.97 million shares valued at N4.49 billion exchanged in 5,945 deals.
This was against a turnover of 319.40 million shares worth N3.05 billion transacted in 4,091 deals.
Guaranty Trust Bank was the most active stock, exchanging 39.65 million shares worth N1.61 billion.
United Bank for Africa followed recording 27.99 million shares valued at N272.47 million, while Sterling Bank traded 26.89 million shares worth N37.85 million.
Despite gains in Tuesday trading, analysts at Cordros Capital, a Lagos based investment firm said: “Our outlook for equities in the near to medium term remains conservative, in the absence of a near term one-off positive catalyst; and more so, amidst brewing political concerns. However, stable macroeconomic fundamentals remain supportive of recovery in the long term.”