Maintaining recovery move for the second time within the month, equities trading on the floor of The Nigerian Stock Exchange ended the second trading day of the week in the positive territory as the lead performance index NSEASI added 8Bpts and closed at 27,566.79 from 27,565.09. It was a mixed performance amongst the observed market indices in this report. Thus, both Week and Month to Date returns improved marginally to 22Bpts. See the index movement table for details.
Value gained by the Market Capitalization of the listed equities during today’s trading activities was N10.559 billion, same as 8Bpts above the opening value. Meanwhile, trading activities for the day produced 14 ADVANCERS and 18 LAGERS. NSEASI Year to Date loss is now 1,223Bpts while the Market Capitalization Year to Date gain stood at N1.699 trillion same as 1,450Bpts above the year’s opening value.
According to the National Bureau of Statistics, the economy of Nigeria grew 1.94 percent year-on-year in the second quarter of 2019, easing from an upwardly revised 2.10 percent expansion in the prior period. Recall that this is one major economic number that the market had long awaited, since there are already various prediction of recession. We are of the opinion that the market will hold faith for a better growth in subsequent quarter. Thus, our 12 months projected growth rate for the nation’s economic is now adjusted down to 2.10% YoY.
The current market zeal to fight the bear seems to be facing strong resistance from bargain hunters positioning against a stronger positive moves. We expect a more pronounced trending market within the next two months from now.
As at the time this report was gathered, Brent Crude sells at 58.59$/bbl, this is 33Bpts above the previous close price.
The I&E FX Window opened at N362.58 traded as high as N364.00 before rounding up at N362.87, having transacted a total of $244.40 million through the day. Please note that, margin between the close and open value is 4Bpts 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 8.93%, same as 0.09% below the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 8.00, that is, 0.86% below the previous close. We are of the opinion that the money market will maintain this range on the next business day. Safe Trade.