Despite trading for three days, the Nigerian equities market appreciated by N512.5 billion in one week as investors renewed interest in blue-chip companies quoted on the Nigerian Exchange Limited (NGX).
Specifically, the market capitalisation closed at N72.788 trillion, about N512.5billion or 0.71 per cent week/week(w/w) increase from N72.275 trillion it opened for trading.
Also, the NGX All-Share Index crossed the 115,000 basis points mark to 115,429.54 basis points, gaining 812.79 basis points or 0.71 per cent when compared to 114,616.75basis points it closed for trading last week.
The domestic equities market closed the holiday-shortened week on a positive note, marking its third consecutive weekly gain.
The equities market was liefted by inviestors surge demand for Dangote Cement (+five per cent), BUA Foods Plc (+4.3per cent), BUA Cement (+7.5per cent), Oando (+21.4per cent) and MTN Nigeria (+1.8per cent)
Consequently, the NGX ASI month-to-date and year-to-date returns settled higher at +3.3per cent and +12.1per cent, respectively.
Meanwhile, trading activity moderated due to the shortened trading week, with volume and value declining by 36per cent and 33.2per cent w/w, respectively.
Sectoral performance was mixed as the Consumer Goods (+1.3per cent) and Industrial Goods (+1.2per cent) indices advanced, while the Oil & Gas (-1.2per cent) and Insurance (-0.1per cent) indices declined. The Banking index remained unchanged.
Meanwhile, a total turnover of 2.057 billion shares worth N51.015 billion in 65,016deals was traded this week by investors on the floor of the Exchange, in contrast to a total of 3.214 billion shares valued at N76.348 billion that exchanged hands last week in 64,156 deals.
The Financial Services Industry (measured by volume) led the activity chart with 1.060 billion shares valued at N26.371 billion traded in 27,201 deals; thus contributing 51.55per cent and 51.69per cent to the total equity turnover volume and value respectively. The Services Industry followed with 490.276 million shares worth N1.586 billion in 3,865 deals.
Third place was the Consumer Goods Industry, with a turnover of 122.795 million shares worth N5.841 billionin 7,638 deals. Trading in the top three equities namely Tantalizer Plc, Access Holdings Plc and Zenith Bank Plc (measured by volume) accounted for 693.553 million shares worth N9.957 billion in 7,661 deals, contributing 33.72per cent and 19.52per cent to the total equity turnover volume and value respectively.
In the coming week, analysts said, it expeced the equities market sentiment to remain broadly cautious ahead of the release of May’s inflation report, which could provide some direction for market positioning.
“Nonetheless, we may also begin to see some early portfolio adjustments ahead of the upcoming half-year earnings season, while stock-specific news flow could continue to drive activity in select counters,” they said.
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