The Nigerian Stock Exchange (NSE) equity market closed in green for the sixth straight trading days, as the market capitalization was boosted by the gains in BUACEMENT (+2.83%), JBERGER (+3.03%), ZENITH (+0.59%) among others.
The market capitalization settled at N13.194 trillion, with investors gaining N32.666 billion while All Share Index (ASI) rose by 0.25% to close at 25,291.73.on Tuesday.
Within the last six trading sessions, the market cap has appreciated by N83.707 billion.
Activity level
The activity level was mixed, with an uptick of 0.06% in the volume of shares traded to 251.34 million whereas the value of traded shares more than halved (-50.50%) to N1.168 billion due to increased activity in penny stocks.
The number of deals on the floor of the exchange declined slightly by 0.64% to 3,713 on Tuesday.
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TRANSCORP maintained the lead as the most traded stock by Volume, with 94.882 million shares worth N52.278 million exchanging hands in 315 trades. In terms of value, UBA dominated with 33.171 million shares valued at N216.454 billion traded in 249 deals.
Performance of Indices under our watch
Only two indices under our watch closed positively while three declined.
The Insurance Index rose for the third consecutive trading sessions. The Index grew by 1.62% to close at 131.96, largely due to gains in NEM (9.63%), WAPIC (+6.25%).
Industrial goods Index rose by 1.10% to close at 1,123.35 mainly due to 2.83% gain in BUACEMENT despite BETAGLASS declining by 9.99%. On the other hand, Consumer Goods Index dropped by 0.07% to close at 424.94%.
Banking Index declined for the third trading sessions in a row, dragged by losses in GUARANTY (-0.79%), ACCESS (-1.54%) among others.
The Oil and Gas index declined by 0.04% to close at 187.36 after closing flat on Monday.
Investor sentiment
Investor sentiment as measured by market breath (gain/loss ratio) weakened further to 0.75x on Tuesday, from 1.0x recorded on Monday, as 15 stocks advanced, similar to the figure seen on Monday, however 20 stocks declined against 15 recorded on Monday.
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The top five gainers are;
- NEM rose by 9.63% to close at N2.05
- WAPIC rose by 6.25% to close at N0.34
- JAPAULOIL rose by 4.76% to close at N0.22
- JAIZBANK rose by 3.51% to close at N0.59
- JBERGER rose by 3.03% to close at N17.00
The top five decliners are;
- BETAGLASS lost 9.99% to close at N55.40
- MAYBAKER lost 9.90% to close at N2.73
- ARBICO lost 9.52% to close at N1.14
- CILEASING lost 9.09% to close at N4.00
- CUTIX lost 7.89% to close at N1.75
Analyst’s view
We expect the weak market performance to continue in the short term, as profit taking and bargain hunting combine to dictate the market pattern.
Written by;
Ifunanya Ikueze