Following gains recorded by MTN Nigeria and 15 other stocks, yesterday, the capital market rebounded after two days of bearish trading, as market capitalisation increased by N33 billion.
The all-share index (ASI) inched higher by 61.39 absolute points, representing an increase of 0.13 per cent to close at 46,904.48 points, while the overall market capitalisation value gained to close at N25.279 trillion.
The market gain was driven by price appreciation in large and medium capitalised stocks amongst which are; MTNN, Eterna, Ardova, Ecobank Transnational Incorporated (ETI) and Ikeja Hotel.
GTI Securities Limited said: “The market recovered slightly yesterday after two days of losses. As Inflationary pressures persist, investors appear indecisive in their trading activities and might tend to tilt towards the fixed income market as yields rise. We expect to witness mixed sentiment in the coming trading days.”
Vetiva Dealing and Brokerage said; “Despite the slight recoveries seen in some of the sectors today, the market continues to trade bearish as sell-off activities outweigh demand, especially in the banking sector (NGXBNK down 593bps WTD). In tomorrow’s session, we expect the market to trade mixed with a chance of recovery in the banking sector given this week’s negative activity.”
As measured by market breadth, market sentiment was positive as 16 stocks gained, while 15 others constituted the losers’ chart.
Cornerstone Insurance and Ikeja Hotel recorded the highest price gain of 10 per cent each to close at 66 kobo and N1.32 respectively, while Eterna followed with a gain of 9.82 per cent to close at N5.48 kobo.
Meyer Plc rose by 9.09 per cent each to close at 60 kobo, while Chams appreciated by five per cent to close at 21 kobo.
On the other hand, Cadbury Nigeria led the losers’ chart by 6.67 per cent, to close at N8.40 kobo. Japaul Gold and Ventures followed with a decline of 5.88 per cent to close at 32 kobo, while PZ Cussons Nigeria declined by 5.36 per cent to close at N10.60 kobo.
Royal Exchange shed 5.22 per cent to close at N1.09, while Wapic Insurance and Multiverse Mining and Exploration depreciated by 4.17 per cent each to close at 46 kobo and 23 kobo respectively.
However, the total volume traded declined by 6.1 per cent to 201.28 million units, valued at N2.62 billion, and exchanged in 4,017 deals. Transactions in the shares of ETI topped the activity chart with 61.89 million shares valued at N742.03 million. Access Holdings followed with 29.47 million shares worth N294.92 million, while Zenith Bank traded 15.836 million shares valued at N361.8 million.
Fidelity Bank traded 11.373 million shares valued at N35.64 million, while Transnational Corporation of Nigeria (Transcorp) transacted 9.84 million shares worth N9.81 million.