Sustaining positive trend, equities trading on the floor of The Nigerian Stock Exchange ended in the positive territory as the lead performance pointer, NSEASI added 101Bpts to its trading points and closed at 27,426.64 from 27,159.59. All observed market indices in this report closed up, thus, Week to Date, the lead index is 103Bpts above opening while the total lost points in the month of September, adjusted down to 36Bpts. See the index movement table for details.
Value gained by the Market Capitalization of the listed equities during today’s trading activities was N141.273 billion, same as 107Bpts above the opening value. Meanwhile, trading activities for the day produced 22 ADVANCERS and 7 LAGERS. NSEASI Year to Date loss is now 1,274Bpts while the Market Capitalization Year to Date gain stood at N1.630 trillion same as 1,391Bpts above the year’s opening value.
Judging from the market breadth at the end of today’s trade, one will safely conclude that more traders joined the bullish moves today. It was observed that most positioned in banking equities, since the stocks in this sub sector are clearly selling at cheaper prices. Technically, gained points in the two trading days had reversed almost all points lost in the past five (5) trading days, thus, if the market should beat the highest high recorded on the 26th August (27,851.4), it means the previous downtrend may have ended and a new trend is building up; although the strength of the new trend will strictly be determined by both the market and economic fundamentals.
On the strength of the above, investors with high risk appetite are expected to take advantage of various low priced equities. Please understand that, going by the nature of the half year GDP numbers, expected third quarter numbers are likely to come below analysts’ projections.
As at the time this report was gathered, Brent Crude sells at 60.05$/bbl, this is 76Bpts below the previous close price.
The I&E FX Window opened at N361.71 traded as high as N363.00 before rounding up at N361.95, having transacted a total of $266.11 million through the day. Please note that, margin between the close and open value is 1Bpts loss. We are of the opinion that the FX-Market will trade within same range tomorrow. See below table for Lagos BDC Fx-rates.
In the money market, the Overnight (O/N) rate closed at 12.29%, same as 7.21% below the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 11.43%, that is, 6.86% below the previous close. We are of the opinion that the money market will maintain this range on the next business day. Safe Trade.