Weekly Equity Market Review and Outlook

Performance in the Nigerian equity market was largely bullish this week as large-, mid- and small-cap stocks rallied; hence, the All Share Index (ASI) appreciated 1.5% WTD to close at a 3-month high of 37,944.60 points while YTD and MTD returns advanced to 41.2% and 3.4% respectively. Market capitalization increased by N205.5bn to N13.2tn, exceeding the N13.0tn mark for the second time this year. Similarly, activity level improved as average volume and value traded increased 70.8% and 14.3% W-o-W to 745.5m units and N5.2bn respectively.

Nigerian Bourse Extends Gains

Photo: Bola Adeeko, Head, Corporate Services Division, The Nigerian Stock Exchange (NSE); Patrick Ezeagu, Chairman, Association of Stockbroking Houses of Nigeria (ASHON); Oscar Onyema, Chief Executive Officer, NSE; Mojisola Adeola, Head, Council Secretariat, NSE and Stephen Falomo, Head, Lagos Zonal Office, Securities and Exchange Commission (SEC) during the recent Induction Ceremony for Newly Qualified Dealing Clerks at The Exchange in Lagos. 


Losses in Banking Stocks Drag Market Performance

The Nigerian equities market closed the trading day negative on Monday as the All Share Index lost 31bps to close at 37,250.78 points while YTD return moderated to 38.6%. Resultantly, investors lost N36.1bn as market capitalization settled at N12.9tn. Today’s negative Performance is largely attributable to losses in banking stocks- STANBIC (-4.7%), ZENITH (-1.0%), ETI (-3.0%) and ACCESS (-0.6%).  However, activity level was mixed as volume traded inched 8.3% higher to settle at 942.7m units while value dipped 5.2% to close at N4.8bn. 

Market Closes Flat despite Positive Sectoral Performance

The equities market closed positive, albeit marginally, as the All Share Index (ASI) rose 2bps to settle at 36,608.76 points while YTD gain closed flat to 36.2%. Accordingly, market capitalization increased by N7.3bn to N12.8tn. Today’s market performance can be primarily accredited to buying interest in NESTLE (+3.1%), ZENITH (+1.3%) and UNILEVER (+5.7%) which was offset by losses in NB (-3.0%), ETI (-2.9%), FOURMILL (-4.9%) and STANBIC (-0.9%). On a similar note, activity level improved as volume and value traded advanced 28.4% and 68.9% to 331.2m units and N5.6bn respectively.

Equities Close Negative as Market Breadth Weakens

The Nigerian equities market closed Tuesday negative as the All Share Index shed 52bps to settle at 36,600.07 points; accordingly, YTD return retreated to 36.2%. Performance today can be largely attributed to losses in NIGERIAN BREWERIES (-3.3%), ZENITH (-3.0%), and GUARANTY (-1.4%). As a result, market capitalization decreased by N67.0bn to N12.7tn. Nonetheless, activity level improved as volume and value traded inched 23.6% and 34.3% higher to 258.0m units and N3.3bn respectively.

Sector Indices Performance Broadly Bearish

Market Opens Positive with Bullish Sentiment

The local Bourse opened the week bullish as the All Share Index (ASI) gained 24bps to close at 36,792.60 points while YTD return expanded to 36.9%. As a result, investors gained N30.9bn, bringing market capitalization to settle at N12.8tn. Today’s performance can be primarily attributed to buying interest in ZENITH (+3.6%), PZ (+10.2%) and DANGSUGAR (+4.3%). Notwithstanding, activity level declined as volume and value traded fell 88.6% and 61.1% to 208.7m units and N2.5bn respectively.

Banking and Consumer Goods Indices Lead Gainers

Market Extends Losses as MSCI Reviews Index Constituents

The Nigerian Equities market extended losses at the close of trade as the Morgan Stanley Capital International (MSCI) released the results of its semi-annual index review in which FORTE (0.0%), FBNH (-2.5%), GUINNESS (+1.0%) and PZ (-8.9%) were removed from its Main Frontier Markets Index which tracks large- and mid-cap stocks in the frontier universe. All, bar FORTE (0.0%), were reclassified into its MSCI Frontier Small Cap Index.

Nigerian Bourse Records Largest Decline in Weeks

The Local Bourse recorded its largest decline in 7 weeks as the All Share Index (ASI) lost 96bps on Tuesday to close at 36,953.41 points while YTD return declined to 37.5%. Consequently, investors lost N124.2bn as market capitalization settled at N12.8tn. The trading session’s negative close is majorly attributable to losses in NESTLE (-3.1%), ZENITH (-4.7%) and DANGCEM (-0.6%).