The equities market maintained a positive performance at the close of trade on Tuesday as price upticks in GUARANTY (+1.1%), UBN (+4.5%) and ZENITH (+0.8%) drove the benchmark index 14bps higher to 32,173.66 points. Consequently, market capitalisation increased by N16.3bn to N12.0tn while YTD return improved to 2.4%. Activity level also strengthened as value and volume traded advanced by 32.5% and 75.8% to N3.5bn and 400.5m units respectively. The most active stocks for the day by value were GUARANTY (N1.2bn), ZENITH (N65.0m), FBNH (N359.0m) while DIAMOND (119.8m units), FBNH (44.3m units) and UBA (40.8m units) led by volume.
Mixed Sector Performance
Sector performance was bearish as only 2 of 5 indices we cover closed in the green. The Banking index rose 92bps as GUARANTY (+1.1%), UBN (+4.5%) and ZENITH (+0.8%) continued to experience buying interests. Similarly, the Consumer Goods index advanced 0.3% higher following gains in DANGFLOUR (+5.8%), DANGSUGAR (+1.0%) and HONYFLOUR (+2.3%). On the flip side, the Insurance index declined by 0.3% on the back of losses in CUSTODIAN (-2.5%) and MBENFITS (-7.4%). Similarly, the Industrial Goods and Oil & Gas indices fell by 0.3% and 0.1% respectively due sell offs in DANGCEM (-0.5%), REDSTAREX (-9.1%), OANDO (-0.9%) and JAPAUL OIL (-8.7%) .
Investor Sentiment Weakens
Investor sentiment weakened as market breadth (advance/decline ratio) stood at 0.8x, declining from 2.5x in the previous trading session. DANGFLOUR (+5.8%), UBN (+4.5%) and NASCON (+4.2%) were the top performing stocks for the day while REDSTAREX (-9.1%), JAPAULOIL (-8.7%) and MBENEFITS (-7.4%) led laggards. We (Afrinvest) expect a moderation in gains as we believe investors will begin to book profit in subsequent trading session.