Equities trading on the floor of The Nigerian Stock Exchange rounded up in the positive territory as the lead performance pointer NSEASI added 307Bpts to its trading points and closed at 31,145.15 from 30,218.14. It was a mixed performance amongst the observed market indices in this report. Week to Date lead performance is above opening by 787Bpts while the total gained points within the month of May is now 681Bpts. See the index movement table for details.
Value gained by the market capitalization of the listed equities during today’s trading activities was N408.305 billion, same as 307Bpts above the opening value. Meanwhile, trading activities for the day produced 12 ADVANCERS and 27 LAGERS. NSEASI Year to Date loss is now 91Bpts while the Market Capitalization Year to Date gain stood at N1.997 trillion same as 1,704Bpts above the year’s opening value.
Since the shares of the telecommunication company MTN Nigeria Plc (MTNN) was listed on the floor of the Nigeria Stock Exchange, as sharp deviation had continuously played out between the lead indicator and key blue chips. We have carefully observed the lagers’ log growing daily, with key blue chips playing permanent member.
In our opinion, centering investment decisions on the All Share Index pattern might lead to fake actions; thus, we are of the opinion that following equities of choice by its individual fundamentals is an intelligent approach at the moment. In our opinion, the bear is still very strong around the market arena, notwithstanding the newly found trend of the lead indicator. We therefore recommend that traders should identify blue chips beaten and battered by the bear despite healthy fundamental base. We also project the for market recovery timing at after May 29th when the President will be officially Swear in for the second time, and the released of the ministerial list.
Pushing further north on the wings of heightened sentiments, the share price of MTNN led the gainers’ log with 9.98% gain that rounded up its price at N144.85 from N131.70. Vitafoam followed closely with 9.82% gain over its previous close price, thus, it closed at N4.25 from N3.87. As the closure date for the previously announce N16.00 cash dividend of Dangote Cement draws near, increased demand added 9.73% to its price as it ended at N203.00 from N185.00. Other top gainers on the list are Thomas Wyatt and University Press.
Law Union led the price percentage losers’ log with 9.09% as it closed at N0.40 from N0.44. ETI followed with 8.50% to close at N9.15. Profit taking activities continued on Japaul Oil as it gave up 8.33% of its previous close price. Courtville and Nestle Foods completed the list with 8.00% and 7.69% respectively.
As at the time we compiled this report, Brent Crude trades at $70.85/bbl having loss 1.33% to stand above the last close price.
At the interbank rate today, the Naira closed at N306.90 against the dollar representing 2Bpts gain over Friday close. See below table for BDC rates by four major locations within the country. Meanwhile, the I&E FX Window started from N360.31 traded as high as N365.50 before rounding up at N360.80, having transacted a total of $72.95 million through the day. Please note that, margin between the close and open value is an equivalent of 11Bpts gain. We are of the opinion that the FX-Market will trade within same range tomorrow.
In the money market, the Overnight (O/N) rate closed at 5.29%, same as 0.00% below the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 4.57%, that is, 0.00% below the previous close. We are of the opinion that the money market will maintain this range on the next business day. Safe Trade.