FeaturedMarket Update

Nigerian Equities Market Closes Green, Adds Marginal 2Bpts

By: Jeariogbe Tunde Segun

Adding marginal 2Bpts, equities trading on the floor of The Nigerian Stock Exchange rounded up in the positive territory as the lead performance pointer NSEASI closed at 26,665.73 from 26,660.44. It was a mixed performance amongst the observed market indices in this report. Thus, Week to Date, market is 49Bpts above the opening point while the total lost points in the month of December is now 125Bpts. See the index movement table for details.

Value gained by the Market Capitalization of the listed equities during today’s trading activities was N2.556 billion, same as 2Bpts above the opening value.  Meanwhile, trading activities for the day produced 16 ADVANCERS and 18 LAGERS. NSEASI Year to Date loss is now 1,516Bpts while the Market Capitalization Year to Date gain stood at N1.149 trillion same as 981Bpts above the year’s opening value.

Leading on the price percentage gainers’ log is Ikeja Hotels which added 9.80% over its previous close price and closed at N1.12 from N1.02. Chams followed on the log with 9.09% gain as it closed at N0.36 from N0.33. Cadbury, Royal Exchange and Union Bank completed the log with 7.58%, 7.41% and 4.62% respectively.

Meanwhile, UAC-Property led the losers log with 10.00% loss as it rounded up at N0.90 from N1.00. UPDCREIT followed with 9.88% loss to close at N3.65 from N4.05. Others on the top five list are; Arbico, Cornerston Ins and Wemabank with 9.77%, 8.93% and 5.41% respectively.

Having signed the 2020 budget into law, President Buhari had effectively changed the nation’s budget cycle to January-December, this is happening for the first time in Nigeria’s 20 years of democratic regime. In our opinion, this and the expected improved economy’s performance in the last quarter of 2019 (leading from border closure) are undoubtedly strong boost for the market and the economy at large. In other words, we expect the government to hit the ground running with the implementation and disbursement of funds, thereby improving liquidity around the economy, a situation expected to change the economic trend in 2020. On the strength of the above, we maintained that investors should avoid any panic selling and old firm to their equities of choice not minding the current market trend.

As at the time this report was gathered, Brent Crude sells at 60.90$/bbl, this is 3Bpts below the previous close price.

The I&E FX Window opened at N363.10 traded as high as N364.50 before rounding up at N363.70, having transacted a total of $600.45 million through the day. Please note that, margin between the close and open value is 2Bpts gain. 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 3.29%, same as 0.18% above the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 2.83%, that is, 0.26% above the previous close. We are of the opinion that the money market will maintain this range on the next business day. Safe Trade.

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FeaturedMarket Update

Nigerian Equities Market Closes Green, Adds Marginal 2Bpts

By: Jeariogbe Tunde Segun

Adding marginal 2Bpts, equities trading on the floor of The Nigerian Stock Exchange rounded up in the positive territory as the lead performance pointer NSEASI closed at 26,665.73 from 26,660.44. It was a mixed performance amongst the observed market indices in this report. Thus, Week to Date, market is 49Bpts above the opening point while the total lost points in the month of December is now 125Bpts. See the index movement table for details.

Value gained by the Market Capitalization of the listed equities during today’s trading activities was N2.556 billion, same as 2Bpts above the opening value.  Meanwhile, trading activities for the day produced 16 ADVANCERS and 18 LAGERS. NSEASI Year to Date loss is now 1,516Bpts while the Market Capitalization Year to Date gain stood at N1.149 trillion same as 981Bpts above the year’s opening value.

Leading on the price percentage gainers’ log is Ikeja Hotels which added 9.80% over its previous close price and closed at N1.12 from N1.02. Chams followed on the log with 9.09% gain as it closed at N0.36 from N0.33. Cadbury, Royal Exchange and Union Bank completed the log with 7.58%, 7.41% and 4.62% respectively.

Meanwhile, UAC-Property led the losers log with 10.00% loss as it rounded up at N0.90 from N1.00. UPDCREIT followed with 9.88% loss to close at N3.65 from N4.05. Others on the top five list are; Arbico, Cornerston Ins and Wemabank with 9.77%, 8.93% and 5.41% respectively.

Having signed the 2020 budget into law, President Buhari had effectively changed the nation’s budget cycle to January-December, this is happening for the first time in Nigeria’s 20 years of democratic regime. In our opinion, this and the expected improved economy’s performance in the last quarter of 2019 (leading from border closure) are undoubtedly strong boost for the market and the economy at large. In other words, we expect the government to hit the ground running with the implementation and disbursement of funds, thereby improving liquidity around the economy, a situation expected to change the economic trend in 2020. On the strength of the above, we maintained that investors should avoid any panic selling and old firm to their equities of choice not minding the current market trend.

As at the time this report was gathered, Brent Crude sells at 60.90$/bbl, this is 3Bpts below the previous close price.

The I&E FX Window opened at N363.10 traded as high as N364.50 before rounding up at N363.70, having transacted a total of $600.45 million through the day. Please note that, margin between the close and open value is 2Bpts gain. 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 3.29%, same as 0.18% above the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 2.83%, that is, 0.26% above the previous close. We are of the opinion that the money market will maintain this range on the next business day. Safe Trade.

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