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Airtel, other stocks spur market’s positive start to new week

Ghana grants banks extension for reports filing

In line with most positive outlooks for the stock market this week, the Nigeria bourse closed in the positive region on Monday, January 9, the first trading day of this week.

The market rose by 0.93 percent, pushing the return year-to-date (YtD) to 0.88percent. Thanks to Airtel Africa Plc which led the league of advancers after its share price moved up from
N1,550 to N1,630, adding N80 or 5.16percent.

The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and Market Capitalisation rose from 51,222.34 points and N27.899 trillion respectively to 51,700.36 points and N stock market 28.16trillion.

“We opine that the mood in the local bourse is broadly positive. Also, we expect portfolio rebalancing activities to spur bargain-hunting on tickers at relatively attractive prices.

Read also: Cash outside banks drop by N190bn in one month

“However, activities in the fixed income space (Treasury Bills Primary Market Auction) and the excess CRR debit last week could stifle liquidity and constrain buying interests in the equities market. Overall, we expect the market to close in the positive region,” said analysts at Lagos-based Meristem in their January 9 note.

Sterling Bank, UBA, FBN Holdings, Access Corporation and Zenith Bank were top-5 traded stocks on Monday, January 9.

In 3,900 deals, investors exchanged 229,218,947 shares valued at N2.907billion.

“Looking into the week, we expect the bears to resume activities across counters, as we anticipate further spread across other sectors as investors book profits from the extended rally. The CBN’s recent CRR debits in the money market will likely discourage investors from sustaining investment in equities in the short-term as they hope for improvement in money market yields.

“However, we see any downturn as a short-term buying opportunity as we expect investors’ risk-on sentiments will linger through Q1-2023, favouring the equities market, as the prevailing downward pressure interest rates will persist through the quarter,” United Capital research analysts said on Monday January 9.