Stock investors gain N400bn in one week following increased bargains

Nigerian stock market recorded increased bargain hunting in the trading week ended Friday August 23, 2019, which helped to push the market to a three-week high.

With most fundamentally sound stocks recording capital appreciation, the cumulative value of listed equities on the Nigerian Bourse increased by N403billion, from week-open level of N13.121trillion to N13.524 trillion as at August 23.

The stock market’s benchmark performance Indicator the NSE All Share Index (ASI) rose by 3.25percent in the review trading week buoyed by gains in Dangote Cement Plc, the most capitalised company on the Nigerian Stock Exchange (NSE).

Excluding NSE Insurance Index which closed negative (-1.38percent), all other Indexes closed the week in the green zone.

The NSE 30 Index increased by 4.93percent, NSE Banking Index (+9.19percent), NSE Consumer Goods Index (+3.97percent), NSE Industrial Goods Index (+1.21percent), NSE Oil & Gas Index (+1.64percent), and NSE Pension Index (+3.56percent).

The All Share Index increased from preceding week low of 26,925.29 points to 27,800.17 points at the sound of trade closing gong on Friday.

While the ASI recorded three consecutive sessions of positive returns – last seen in May 2019 –some market watchers looking into a new week expect the market to record mixed trading sessions from Monday August 26. They expect to see continued rally at the beginning of a new week, thereafter profit taking activities are expected in the later part of the week.

 

Iheanyi Nwachukwu