The Nigerian stocks market yesterday posted a gain of 1.98 per cent, its best performance so far in 2019, to further extend bullish trend to five consecutive trading days and return the year-to-date (YTD) performance to positive after seven months of being negative.
The All Share Index (ASI) gained 611.69 absolute points, representing a growth of 1.98 per cent, to close at 31,433.49 points. Similarly, market capitalisation grew by N288 billion, to close at N11.722 trillion.
The upturn was impacted by gains recorded in medium and large capitalised stocks, amongst which are; Nestle Nigeria, Guaranty Trust Bank, Forte Oil, Dangote Cement and Zenith Bank.
Analysts at Afrinvest Limited said that the strengthening sentiment in the market shows buying appetite of investors which we expect to persist in the near term.
They advised investors to cautiously take advantage of bargains in fundamentally sound stocks.
Also, Cordros Capital said that “in spite of the recent rallies, our outlook for equities in the near-to-medium term is negative, and we advise investors to trade cautiously amidst political uncertainties ahead of the 2019 elections, and the absence of a positive market trigger.
“However, positive macroeconomic fundamentals remain stable and supportive of recovery in the long term.”
Market breadth was positive with 25 gainers against 13 losers. Forte Oil recorded the highest price gain of 10 per cent, to close at N29.70, per share. Unity Bank followed with a gain of 9.76 per cent, to close at 90 kobo, while Guaranty Trust Bank rose by 9.51 per cent to close at N38, per share.
Nigerian Aviation Handling Company (NAHCO) appreciated by 8.39 per cent to close at N3.49, while Zenith Bank went up by 7.24 per cent to close at N24.45, per share. On the other hand, McNichols led the losers’ chart by 9.52 per cent, to close at 38 kobo, per share. Trans-Nationwide Express followed with a decline 8.70 per cent to close at 63 kobo, while Royal Exchange lost 7.14 per cent to close at 26 kobo, per share.
Learn Africa declined by 6.67 per cent to close at N1.40, while NEM Insurance down by 6.12 per cent to close at N2.30, per share.
Investors traded a total share volume of 436.75 million valued at N5.88 billion in 4,047 deals. United Bank for Africa (UBA) traded with 136.5 million shares valued at N987.1 million. Zenith Bank followed with 63.43 million shares worth N1.49 billion, while Access Bank traded 44.43 million shares valued at N277.87 million.
FBN Holdings traded 31.49 million shares valued at N236.26 million, while Guaranty Trust Bank transacted 31.45 million shares worth N1.15 billion.