By Peter Egwuatu
Resuming from the Christmas holiday, the equities market on the Nigerian Stock Exchange, NSE rebounded today (Friday) as investors gained over N156 billion or 1.24 percent amid renewed bullish activity.
Also, in what appears to be a strong bullish run, the Exchange recorded 24 gainers as against 10 losers. Hence, the year to date loss of the NSE All Share Index, ASI fell to 15.95 percent from 16.99 percent.
Following the upward movements in mid/large capitalised stocks such as Nestle, which gained (+10.00 percent), Stanbic IBTC (+714bps) and First Bank Nigeria Holding, FBNH (+504bps) among others, the NSE ASI in the day’s trading rose by 125bps to settle at 26,416.48bps.
Amid the rise in the ASI, most of the sectors gauges rose. The NSE Banking, NSE Oil/Gas and NSE Consumer Goods Indices increased by 0.53 percent , 1.69 percent and 4.81 percent respectively.
Despite the positive day’s performance of the broader Index, profit taking action was recorded in Guinness as it dropped by (-624bases points, bps), OANDO (-189bps) and Unilever (-68bps) as investors took advantage of gains made recently.
Activity level however closed mixed for the day as the total value of stocks traded increased by 83 percent to N3.04 billion (mainly due to high caps); however, total volume of shares traded decreased by 31.41 percent to 222.51 million units.
Meanwhile, analysts at Cordros Capital said: “We see the level of activity and volatility being sustained over the final days of the year, with some pockets of gains expected, as fund and portfolio managers realign portfolios prior to the start of 2020.”