2-Day Bearish Trend Halted

After 2 consecutive days of decline, performance of the Nigerian equities market turned positive on Thursday as the All Share Index improved 1.0% to settle at 27,183.64 points. Today's uptrend was broadly driven by price appreciation in market bellwethers, namely NIGERIAN BREWERIES (+5.0%), WAPCO (+5.0%) and DANGCEM (+1.8%). Consequently, market capitalisation rose N93.9bn to N9.3tn. However, activity level weakened as volume and value traded fell 1.1% and 38.8% to 332.2m units and N2.2bn respectively.

Mixed Performance across Sectors
Performance across sectors was mixed as 3 sector indices appreciated while 2 declined. The Industrial goods index trended 2.6% northwards following price appreciation in WAPCO (+5.0%) and DANGCEM (+1.8%). Similarly, the Consumer goods index rose 1.5% on account of the rally in NIGERIAN BREWRIES (+5.0%). The Banking index followed suit, advancing 0.5% on the back of gains in ZENITH (+2.3%) and GUARANTY (+0.6%). On the flipside, the Oil & Gas and Insurance indices closed lower, down 2.0% apiece on the back of losses in FORTE (-2.5%) and MANSARD (-5.0%).

Sentiments Improve
Investor sentiments improved today, albeit still weak, as market breadth closed higher at 0.7x (from 0.2x yesterday) following 23 stocks that advanced while 31 declined. The Best performing stocks today were CADBURY (+10.0%), UCAP (+8.5%) and WAPCO (+5.0%) while CCNN (-9.6%), MANSARD (-5.0%) and UNIONDICON (-5.0%) were the worst performing. Today's positive performance was broadly driven by bargain hunting in some market bellwethers that have declined significantly in previous trading sessions and we expect this trend to be sustained tomorrow. Nevertheless, performance for the week will close in the red zone.

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