NSE Opens Positive after Red Market Days
The Nigerian Stock Exchange, NSE, opens the week with positive momentum amidst the influx of earnings reports from companies after red market days last week.
The equities market ended the first trading session in March in the green following price upticks in ZENITH (+1.4%), UBA (+2.5%) and BUACEMENT (+3.8%).
As a result, the NSE benchmark index gained 33 basis points (bps) to 39,931.63 points, while year to date loss eased to -0.8%, pushing market capitalisation up by ₦68.9 billion to ₦20.9 trillion.
Trading activity varied as volume improved by 7.2% to 544.0 million units and value dipped 22.7% to ₦1.9 billion.
The most traded stocks by volume were WEMA (369.7 million units), ZENITH (20.6 million units) and TRANSCORP (13.0 million units).
Meanwhile ZENITH (₦529.1 million), WEMA (₦240.3 million) and MTNN (₦151.2 million) led by value.
Afrinvest noted in a market report that performance across sectors was mixed as 3 of the 6 indices under its coverage closed southward.
The NSE Industrial Goods and Banking indices gained 1.5% and 0.3% respectively due to price appreciation in BUACEMENT (+3.8%), ZENITH (+1.4%) and UBA (+2.5%).
Conversely, the NSE Insurance and Consumer Goods indices closed lower by 1.1% and 0.5% respectively following sell pressures in MANSARD (-1.9%), WAPIC (-5.6%), NASCON (-10.0%) and PZ (-9.4%).
It was noted that Sell-offs in OANDO (-1.2%) dragged the NSE Oil & Gas index lower by 0.1% while the AFR-ICT index closed flat.
Investor sentiment as measured by market breadth weakened to 0.4x from the 0.7x recorded previously as 12 stocks advanced against 28 decliners.
UACN (+6.7%), AIICO (+5.2%) and VERITASKAP (+5.0%) were the top gainers while Consumer Goods tickers – NASCON (-10.0%), CHAMPION (-9.9%) and PZ (-9.4%) – were the top losers.
“Although, we are not optimistic about gains this week as investor sentiment remains weak, we expect earnings releases and dividends declaration to influence trading activity”, Afrinvest said.
As NSE opens positive, some analysts believe the earnings result from listed companies were the major drivers of the stock market positive traction.
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NSE Opens Positive after Red Market Days
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source https://dmarketforces.com/nse-opens-positive-after-red-market-days/