Equities Open Week Bullish

Resuming from the two days public holiday, the All Share Index (ASI) opened the week on a positive note, gaining 0.2% to close on Wednesday at 27,642.13 points, while YTD loss trimmed to -3.5%. The positive close today, signalled the fourth consecutive appreciation in the NSE ASI. Investors gained N22.2bn as market capitalization advanced to N9.5tn. Activity level in the market was mixed as volume traded declined 33.2% to 213.6m units while value traded rose 17.6% to settle at N2.0bn.

Mixed Sector Performance
The Industrial Goods index led the list of gainers, up by 0.5%, due to gains in DANGCEM (+0.9%) and WAPCO (+0.1%). The Consumer Goods index trailed, rising 0.3% on account of price appreciation in UNILEVER (+4.9%) and DANGFLOUR (+2.4%) while the Oil and Gas index marginally rose 1bp following a rally in CONOIL (+10.2%). On the flipside, the Banking Sector index closed negative, down 0.7% on the back of price depreciation in DIAMOND (-5.8%) and UBA (-0.7%). Similarly the Insurance index closed in the red, losing 0.4% due to losses in AIICO (-4.5%) and NEM (-1.2%).
 
Investor Sentiment Weakens
Investor sentiment waned today as seen in the market breadth (advancers/decliners ratio) which eased to 0.8x (from 1.3x on Friday) owing to 15 advancing stocks against 19 that declined. The gainers’ chart was topped by CONOIL (+10.2%), UNILEVER (+5.0%) and AFRIPRUD (+4.8%) while DIAMOND (-5.8%), STERLING (-5.0%) and TRANSEXPR (-4.7%) led the losers’ list. Despite the positive close today, we expect some profit taken by investors in the trading sessions ahead.

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