Equities trading on the floor of The Nigerian Stock Exchange maintained bearish streak as it gave up 26Bpts of its trading points and rounded up at 40,749.86 from 40,855.64. It was a mixed performance among the observed market indices as shown in the index movement table. At the end of today’s trading activities, both the Week to Date and Month to Date market returns are negative 182Bpts each.
Value loss by the market capitalization of the listed equities during today’s trading activities was N38.212 billion, same as 26Bpts below the opening value. Meanwhile, trading activities for the day produced 18 advancers and 26 lagers. NSEASI Year to Date gain is now 6.55% while the Market Capitalization Year to Date gain stood at N1.110 trillion same as 8.16% above the year’s opening value.
The re-constituted Monetary Policy Committee (MPC) today concluded its maiden meeting, the first in 2018, on 3rd and 4th of April, 2018 against the backdrop of strengthening global growth and improving domestic economic conditions. The Committee assessed the developments in the global and domestic economic environments during the first quarter of 2018, including the risks to price stability, financial stability, and economic growth in the short-to-medium term. Consequently, the MPC voted unanimously to retain the MPR at 14.0 per cent, CRR at 22.5 per cent, Liquidity Ratio at 30.0 per cent, and Asymmetric corridor at +200 and -500 basis points around the MPR.
We maintained that the market is getting juicier by each bear’s bite, especially for both medium and long term investors. This is on the premise that both equities and market fundamentals are intact as evidenced by several impressive earnings recently released to the market. We recommend entry in tranches into equities currently trading below their intrinsic values. In other words, after proper valuation of these equities investors should confidently decide their positions accordingly. Safe Trade.