Stock market value records N80bn growth in one week

In a week characterized with the launch of Nigeria’s economic recovery plan, the Nigerian stock market sustained positive momentum recording an N80 billion increase in market capitalisation and a 0.90 percent growth in lead market indicators.

This may be an indication that efforts by the Federal Government, Fiscal and Monetary authorities to re-inflate the Nigerian economy and lift investors’ confidence may have started paying off.

Lead market indicators, the NSE All-Share Index and Market Capitalization appreciated by 230.18 points and N80 billion to close the week on Friday 7th April, at 25,746.52 and N8.909 trillion respectively.

In same manner, indices that measure the performance of sectors listed on the stock market finished higher during the week with the exception of the NSE Banking Index which depreciated by 0.20 percent lile the NSE ASeM Index closed flat

Top of the week’s trade by volume were, Fidelity Bank Plc, FBN Holdings Plc and Zenith International Bank Plc. They accounted for 292.363 million shares worth N1.128 billion in 2,485 deals, contributing 37.18 percent and 19.35 percent to the total equity turnover volume and value respectively.

A total turnover of 786.176 million shares worth N5.828 billion in 14,343 deals were traded during the week by investors on the floor of the Exchange in contrast to a total of 3.195 billion shares valued at N104.217 billion that exchanged hands last week in 14,674 deals.

The Financial Services Industry maintained its position at the top of activity chart with 557.911 million shares valued at N2.669 billion traded in 7,340 deals; thus contributing 70.97 percent and 45.79 percent to the total equity turnover volume and value respectively.

The Consumer Goods Industry followed with 70.255 million shares worth N1.556 billion in 2,698 deals. The third place was occupied by Services Industry with a turnover of 50.558 million shares worth N70.773 million in 754 deals.

Also traded during the week were a total of 1,510 units of Exchange Traded Products (ETPs) valued at N4,113.20 executed in 3 deals compared with a total of 52,885 units valued at N425,464.25 transacted last week in 19 deals.
A total of 11,064 units of Federal Government Bonds valued at N10.256 million were traded this week in 21 deals, compared with a total of 2,870 units valued at N2.638 million transacted last week in 7 deals.

On outlook for the coming weeks, analyst as Cordros Research have opined that the current improvement will revive investors’ appetite.

“We expect the current improvement – albeit modest – in the macroeconomic environment, especially the currency space, will further stoke investor appetite, particularly in the event of no negative surprise(s).

Better-than-expected first quarter results may act as catalyst as we expect a few top names to announce results before the end of the month.”