Bullish Rally persist at Nigeria’s Stock Market

By Peter OBIORA investadvocate

Oct 18 2010 16.35 GMT


Lagos (INVESTADVOCATE)-Equity transactions for the week Monday October 18 2010 on a bullish note as more Blue Chip stocks recorded price appreciation at the Floor of the Nigerian Stock Exchange (NSE) in Lagos Nigeria.



The  twin market indicators the All-Share index which measures the performance of quoted companies rose by 200.5 basis points or 0.79 percent (0.79%) from 25,077.73 recorded as at  Friday October 15 2010 to 25,278.23, while Market capitalisation increased by N49 billion or 0.79% from N6.145 trillion to N6.194 trillion.



Also, activities at the stock market have been on the upbeat for some days, the trend which Capital Market Analyst attributed to return of investors confidence after the news soon the Asset Management Corporation of Nigeria (AMCON) would soon commence operations and it is expected to soak up the toxic debt by banks.


As earlier reported, the loan exposures in the Nigerian Capital Market (NCM) is estimated to be about N421.7 billion ($2.86 billion) and for all the banks, the total estimate of loans granted in the review period is estimated to be about N1.2 trillion ($8.1 billion).



However, at the close of trading today Monday October 18 2010 50 stocks recorded price appreciation, while 17 constituted the Losers table.



Further analysis of trading showed Oando Nigeria Plc (Oando) topped the day’s Gainers table with N3.15 to close at N66.15 per share, while Lafarge Cement Wapco Nigeria Plc (WAPCO) followed with N2.04, to close at N42.99 per share. Flour Mills Plc (Flourmill) added N1.95 to close at N72.00, among other Gainers.



However, Guinness Nigeria Plc (Guinness) led on the Losers table with N4.92 to close at N180.21 per share. Nigerian Breweries Plc (NB) followed, shedding N2.30 to close at N76.20 per share while Cadbury Nigeria Plc (Cadbury) dropped N1.65 to close N31.35.


On the activity chart, the Banking sub-sector boosted by the activities of United Bank for Africa Plc (UBA) and First Bank of Nigeria Plc (FBN) dominated in volume terms with 180 million shares worth N1.5 billion in 3,082 deals.



While Food and beverages sub-sector followed with 28.8 million units, worth N1.8 billion in 749 deals and Building materials recorded 27.6 million shares valued at N649 million in 225 transactions.


In all, investors exchange 304.3 million shares, worth N5.5 billion in 6,049 deals.


Comments are closed.