Driving through a more pronounced sideway trend, the performance index of the Nigerian bourse opened the first trading day of October marginally red as it gave up 20Bpts. It was a mixed performance among other observed market indices. See the index movement table for details.
Today’s trading activities produced 11 advancers and 17 lagers. NSEASI YtD return is currently -1.27% while the Market Capitalization YtD return stood at –N137.692 billion.
Today’s performance is a continuation of last month’s trend. Please note that the current trend identified with the lead index is a sideway trend, the market seems to be staging a support around the current market trading range as it has maintained the status for 9 trading days. As good as the position looks, we foresee a sharp response to any fundamental news given the glaring market weakness. We therefore recommend heightened cautiousness around the market arena.
We recommend timely position in the shares of the followings; Guaranty Trust Plc, Access Bank, Nascon, African Prudential, Wema Bank, Wapco, Fidson, Transcorp and Flour Mills. We expect the equities to yield ample profit in medium term.
The management of Pz Cussons released its 1st quarter financial position for the period ended 31st August, 2016. The result was negative earnings to the tune of N1.58 billion against the N546.79 million profits reported in the corresponding quarter of 2015. In another report, Guinness Nigeria announced that Diego Plc has reversed its intention to make an offer through its wholly owned subsidiary Guinness Overseas Limited for 15.7% of the share capital of Guinness Nigeria Plc.
Volume Index for week’s activity is 0.84 while buy volume and sell volume is estimated at 47% and 53% respectively.
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