NSE index rises 0.06% amid high expectations of sustained growth

Expectations that the nation’s bourse would sustain its growth trajectory this year, buoyed transactions on the equity sector of the Nigerian Stock Exchange (NSE), yesterday, as the All-share index rose marginally by 0.06 per cent.
   At the re-opening of trading for the year, the market capitalisation rose by N8 billion from N13.609trillion recorded as at Friday, December 29, 2017 to N13.617 trillion.
   

Also, the All-share index, which measures the performance of listed firms appreciated by 0.06 per cent from 38,243.19 to 38,263.79.
Analysts had predicted that the NSE’s index would close at 40,000 points, however, at the close of transactions for 2017, the index closed at 38,000 points.
  After posting an outrageous 26 per cent loss in 2016, the Nigerian equities market gathered strong momentum in 2017, with a year to date increase of N4.5trillion in market capitalisation from N9.158trillion at year opening on January 3, to N13.609trillion on Friday, December 29, 2017.
  Also, the NSE All-Share Index (NSE ASI), rose by 30.4 per cent during the year under review from 26, 616.89 to 38,243.19.
 

The Managing Director, High cap Securities, David Adonri, explained that investors are currently taking position in equities with expectations that the index would hit 40,000 points before the end of the first quarter (QI).
   He added that most banking stocks that had performed below expectations last year were in full bid yesterday, as investors continued to mop up.
“The market closed in an upward trend. A lot of banking stocks were in full bid. Expectations by investors that those banks will perform well and pay dividend is high. The investors are in full expectations that that the market will push towards 40,000 points before the end of Q1,” he said.
   

Further analysis of yesterday’s transactions showed that 27 stocks appreciated in price, led by CAP with 1.70 kobo to close at N35.70 per share, while National Salt Company of Nigeria followed with 0.72 kobo to close at N19.22 per share. PZ Cussons added 0.55 kobo to close at N21.15 per share.
   International Breweries gained 0.49 kobo to close at N54.99 per share. Dangote Sugar appreciated by 0.34 kobo to close at N20.36 per share. Zenith Bank garnered 0.29 kobo to close at N25.93 per share.
 

However, Forte Oil topped the losers’ chart with 1.48 kobo to close at N42.00 per share. Unilever followed with 0.79 kobo to close at N40.21 per share. Ecobank   TransNational Corporation lost 0.73 kobo to close at N16.27 per share. Stanbic IBTC shed 0.60 kobo to close at N40.9 per share. Union Bank depreciated by 0.29 kobo to close at N7.51 per share.
   On the activity chart, TransNational Corporation was the investors’ toast with 102 million shares worth N150.7million. Zenith Bank followed with 24 million units valued at N642million. Skye Bank accounted 15.5 million shares worth N7.8million.
  First City Monument Bank exchanged 13 million units valued at N21million. Access Bank also traded 11 million units worth N117million.