• Monday, June 24, 2024
businessday logo

BusinessDay

Investors gain N1.3trn as banking stocks drive 3.89% rally

Q1 earnings seen improving investor appetite for bank stocks

In the trading week ended Friday July 21, the Nigerian Exchange Limited (NGX) All-Share Index and equities market capitalisation increased by 3.89 percent to 65,003.39 points and N35.394trillion respectively as against 62,569.73 points and N34.070 trillion recorded the preceding weekend.

Investors showed significant interest in banking stocks like GTCO, Stanbic IBTC Holdings, and Sterling.

The NGX Banking Index surpassed the benchmark Index, rising by 15.81 percent in the review week.

Investors booked about N1.324trillion gain in the review trading week.

Read also: FBN Holdings grows H1’23 pre-tax profit to N206.2bn

The market recorded four trading sessions of positive closes as against one day of negative close.

Despite sessions of profit-taking and bargain hunting, the market has risen this month by 6.62 percent. The market’s positive close pushed the return year-to-date (YtD) to 26.83 percent.

Ahead of the review week’s trading, market watchers had not expect a significant flow of funds away from the equities market to the fixed-income market owing to the robust interbank liquidity.

Dangote Cement Plc in its tranche 1 shares buy-back programme purchased 168,735,593 fully paid ordinary shares which represents 1percent of the total issued shares.

The programme which commenced on July 17 was completed within two days in the review week.