Equities sustain rising profile on the Exchange

YESTERDAY, the positive momentum of the All Share Index [ASI] was sustained across board with the broad market index reclaiming the 28,000-point level.  

In the view of Dunlorenmerrifield analysts, it is not impossible that the expected first quarter of 2014 earnings broadcasts coupled with discounted equity prices and the observed gradual improvement in oil prices are the catalysts for the strong rally on the day.

  However, this is still inconclusive given that the market has only recorded gains over two trading sessions and the fact that political and fiscal (oil prices are still below budget benchmark) risks remain key investment considerations.

  All the sectoral indices traded in positive territory, with banking and consumer goods leading the pack thereby providing support for the positive returns on the day. 

  Consequently, the ASI gained 723.97 points or 2.61 per cent to close at 28,452.60 points, while year-to-date return remains negative at 17.90 per cent.  

  Meanwhile, despite posting weak results, Flour Mills of Nigeria received favourable patronage yesterday as the stock gained 9.83 per cent to close at ₦30.39, while its year-to-date return stands at 22.47 per cent.

Meanwhile, over the next couple of weeks, the National Association of Securities Dealers[NASD] will identify companies, which in compliance with the Companies and Allied Act have registered their public securities with the Securities Exchange commission.  As these securities are automatically eligible to trade on the market, the association  will create a Memorandum Listing for such companies. 

   In other words, they will fall under the coverage of the association after  the reviewing of corporate governance and financial performance.  In addition, shareholders of these companies are assured of SEC protection.

  NASD also seeks to empower all participating institutions as well as ease their participation in the market by organising a free training for all back office/operations staff.