Equities Market Maintains Positive Trend

The Nigerian equities market closed positive at the end of Thursday’s trading session as the All Share Index (ASI) added 62bps to close at 37,118.63 points, buoying Year-to-date performance to 38.2%. Consequently, market capitalization improved N73.6bn to N12.8tn. GUARANTY (+2.5%), DANGSUGAR (+9.8%) and ZENITH (+1.6%) were the major drivers of today’s performance. Likewise, activity level improved as volume and value traded advanced 62.1% and 23.2% to 407.0m units and N4.7bn respectively.
 
Oil & Gas Sector Emerges Lone Loser
Performance across sectors was largely bullish as 4 of 5 indices trended northwards. The Banking index topped the gainers’ chart, rising 1.6% due to appreciation in GUARANTY (+2.5%) and ZENITH (+1.6%). The Consumer Goods index trailed, nudging 1.0% higher on account of gains recorded in DANGSUGAR (+9.8) and NIGERIAN BREWERIES (+0.7%). Similarly, the Industrial Goods and Insurance indices advanced 0.2% and 0.1% due to increase in WAPCO (+0.4%) and LINKASSURE (+4.4%) respectively. On the other hand, losses recorded in MOBIL (-3.6%) dragged the Oil & Gas index 0.2% lower.  
 
Investor Sentiment Stays Positive
Investor sentiment slightly waned today as market breadth (advancers/decliners’ ratio) settled at 1.6x (against 1.7x recorded yesterday) after 25 stocks advanced against 16 declining stocks. The best performing stocks were DANGSUGAR (+9.8%), CILEASING (9.1%) and AIRSERVICE (+4.9%) while the worst performers were CUTIX (-5.0%), NPFMCRFBK (-4.8%) and MAYBAKER (-4.7%). With some H1:2017 corporate scorecards yet to be released – especially from Tier-1 banks - we expect investor sentiment to remain largely positive for the rest of the week.

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