The equity market experiences a surge of N464 billion propelled by positive trading
Following four consecutive bullish trading sessions last week, participants on the Nigerian Exchange realized a gain of N464 billion.
Commencing on a positive trajectory, the market maintained this sentiment until Thursday, resulting in investors accruing N501 billion during the period.
Nevertheless, the market experienced a decline on Friday due to sell-offs in certain banking stocks.
Closing the trading week, the NGX All Share Index registered a 1.18 percent week-on-week growth, surpassing the 72,000 mark to conclude at 72,389.23 points.
The surge in the All Share Index (ASI) was driven by robust upswings in key sectors, including banking, consumer goods, telecoms, energy, and industrials.
The financial services sector, measured by volume, took the lead on the activity chart, recording 1.373 billion units of shares valued at N22.165 billion in 17,300 deals. This contribution accounted for 72.96 percent of the total equity turnover volume and 70.08 percent of the total value.
Following closely was the services industry, which saw 97.008 million shares traded at a value of N616.265 million in 1,949 deals. Additionally, the consumer goods industry recorded a turnover of 86.370 million shares valued at N2.136 billion in 3,819 deals.
A breakdown of the sectoral performances indicates a 7.01 percent increase in the banking index, a 0.22 percent rise in the consumer goods index, and a 0.24 percent uptick in the industrial index.
The positive movements in the market were driven by heightened buying interest in stocks such as Infinity Trust Mortgage Bank, Sterling Financial Holding Company, AccessCorp, Ecobank, and Tantalizer Plc.
Conversely, the insurance and oil & gas indexes experienced declines of 0.96 percent and 0.27 percent, respectively, influenced by the price drops in Eterna, NEM Insurance, Sunu Assurance Plc, and Conoil Plc.
In terms of volume, Access Holdings Plc, Guaranty Trust Holdings Company Plc, and Zenith Bank Plc collectively accounted for 491.533 million shares valued at N15.466 billion in 5,997 deals. This contributed 26.12 percent to the total equity turnover volume and 48.90 percent to the total value.
Despite the overall positive performance of the market, trading activity for the week witnessed a decrease, with a total turnover of 1.882 billion shares valued at N31.630 billion in 33,020 deals. This is in contrast to the prior week, where a total of 2.423 billion shares valued at N45.070 billion changed hands in 34,704 deals.
Noteworthy gainers for the week included Infinity Trust Mortgage Bank Plc, with a 59.32 percent increase closing at N2.82 per unit; SCOA Nigeria Plc, adding 28.89 percent to close at N1.74; and Daar Communications Plc, rising by 27.78 percent to close at N0.46. Other top gainers were John Holt, up by 20.54 percent closing at N2.23; DEAP Capital Management & Trust Plc, gaining 14.75 percent closing at N0.70, and Sterling Financial Holdings Company Plc, increasing by 10 percent to close at N4.18 per unit.
In contrast, Secure Electronic Technology Plc recorded a loss of 16 percent, closing at N0.63; Eterna Plc experienced an 11.83 percent decline, closing at N11.55, and Thomas Wyatt suffered an 11.14 percent loss, closing at N2.95.
As the market commences trading on Monday, analysts anticipate potential reactions to the recently disclosed inflation figure of 28.20 percent for November. Investors are expected to strategically position themselves in anticipation of upcoming corporate earnings reports.
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