Following the recent uptrend in performance, the equities market closed positive on Thursday as the All Share Index gained 2.9% to settle at 43,041.54 points, while YTD return expanded to 13.5%. Likewise, investors recorded gains to the tune of N436.1bn as market capitalization rose to an all-time high of N15.3tn. Today’s performance was propped up by sustained buying interest in market bellwethers – DANGCEM (+2.0%), GUARANTY (+4.9%) and NIGERIAN BREWERIES (+4.6%). On a similar note, activity level improved as volume and value traded inched 6.8% and 30.7% higher to 1.2bn units and N17.4bn respectively.
Bullish Sector Performance
Performance across sectors was bullish as all indices closed in the green. The Banking index was the top performer, rising 4.4% on the back of buying interest across board. However, performance was driven largely by tier-1 banks - GUARANTY (+4.9%) and ZENITH (+3.1%). The Industrial Goods index followed suit, closing 3.3% as an upswing in DANGCEM (+2.0%) buoyed performance while the Consumer Goods index rose 2.3% following upticks in NIGERIAN BREWERIES (+4.6%) and GUINNESS (+9.6%). Similarly, price appreciation in SEPLAT (+2.3%) and FORTE (+8.7%) drove the Oil & Gas index 2.7% northwards while the Insurance index recorded a 1.7% increase following a rally in MANSARD (+8.4%) and AIICO (+3.5%).
Investor Sentiment Stays Positive
Investor sentiment- measured by market breadth (advance/ decline ratio) moderated to 5.6x from 20.0x recorded the prior session consequent on 56 stocks advancing against 10 decliners. Today’s best performing stocks were HONEYFLOUR (+10.0%), CCNN (+10.0%) and CHAMPION (+9.9%) while UPL (-4.7%), MEYER (-4.5%) and LEARNAFRCA (-4.0%) led laggards. Despite the decline in market breadth, sentiment remained positive. Hence, we expect the market to close of the week positive.