Rounding up on a flat note, equities trading on the floor of the Nigerian Stock Exchange ended in the negative territory, as the lead performance pointer, NSEASI gave up marginal 1Bpt of its trading points, and closed at 39,547.67 from 39,550.36. It was a mixed performance amongst the observed market indices in this report. Thus, WtD, the lead index is 6Bpts above opening, while the total gained points in the month of August is now 259Bpts. See the index movement table for details.
Fundamental View
Trading activities on the floor of the Nigerian Stock Exchange remained relatively silence, as good numbers of traders seem to have sat on the fence. In our opinion, all hand is on deck, watching the outcome of various policy directions within the country. It should be noted that, President Mohammodu Buhari today sets up the steering committee, to look into the newly signed Petroleum Industry Bill, as noted in our previous report, although the bill is the fulfilment of long term expectations, not all parties interested in the bill will be satisfied with the content. The committee which was headed by minister of state, petroleum resources Timipre Sylva, is to complete the implementation of the bill within 12 months.
The upcoming MPC meeting is another major event that the markets carefully watch-out for. Meanwhile, traders still await half year earnings of few financial institutions with half year dividend policy. In our opinion, most investors already factored in the dividend expectation, hence, rapid price movement when the result is finally released is very unlikely.
Technical View
Technically, the market seems to have met a resistance, as it had spent the another night within its current trading range. Please note that the current trading point had stand as major resistance to NGXASI since the third month of the year. Meanwhile we noted that when the market breaks the resistance (towards the end of May), it was not sustained. On the strength of the above, our highest expectation is for the market to pullback from its current trading point, although we do not rule out the possibilities of a break through the resistance. On the strength of the above stated facts, we recommend that traders should maintain cautiousness around the market arena.
Money Flow Index (MFI) is currently diving south, confirming that funds is exiting the market. As at the end of today’s trade, it rounded up at MFI-54.97 point. Also, MACD is trending at very close gaps, although it recently attempted to open up a bit. RSI Cross Over is already initiated a Buy position, as RSI-5 today crossed RSI-15 up from the downside position. Kindly play by the trend.
Index Movements
The total value loss by the Market Capitalization of the listed equities during today’s trading activities was N2.441 billion, same as 1Bpts below the opening value. Meanwhile, trading activities for the day produced 19 ADVANCERS and 17 LAGERS. NGXASI Year to Date loss is now 180Bpts while the Market Capitalization Year to Date loss stood at N452.888 million same as 215Bpts below the year’s opening value.
Top Gainers & Losers
Leading on the advancers’ log is Pharmadeko with 10.00% gain over its previous close price, thus it rounded up at N1.43 from N1.30. BOCGAS followed with 9.78% gain, to round up trade at N10.10 from N9.20. Honeywell Flour, Courtville and ABC-Transport completed the top 5 price percentage gainers log with 9.72%, 8.00% and 6.06% respectively.
On the flip side Scoa led with 9.66% price depreciation as it rounded up trade at N1.59 from N1.76. Prestige Assurance followed with 8.33% loss, thus it closed at N0.44 from N0.48. Regalins, MBenefits and Caverton completed the top 5 price percentage losers’ log with 6.98%, 5.71% and 5.49% respectively.
Top Performance for the Day
Top 5 Trades
Investors did a total of 264 deals on the shares of Zenith Bank, while a total of 254 transactions were made on GTCO shares through today’s trading session. Access Bank was next on the top 5 list with 138 transactions, while Oando and UBA completed the top five (5) trades for the day, as shown in the below table.
Top 5 Performance by Volume
Traders traded 14.14 million units of Transcorp through the day’s trade. Chams followed on the most traded by volume with 14.06 million shares. Zenith Bank, GTCO and Oando completed the top 5 most traded shares for the day.
Top Performance by Value
The Value of the shares traded on Nestle Foods (N1.18 billion) was the highest for the day, followed by Airtel Africa where investors exchange N278.35 million worth of shares. Zenith Bank, GTCO and Seplat completed the list as shown in the above table.
NASD-OTC BRIEF
Over the Counter (OTC) Market Index ended in the green by adding 0.04% to close the day’s trade at 737.72, while the market Capitalisation equally rounded up in the positive territory as it added 0.04% and close at 641.20 billion. Today’s performance produced one (1) advancer, and zero (0) decliners. Kindly view today’s price list Here.
FMDQ-OTC BRIEF
The I&E FX Window opened at N411.39 traded as high as N413.00 before rounding up at N411.75, having transacted a total of $113.38 million through the day. Please note that, margin between the close and open value is 6Bpts up. We are of the opinion that the FX-Market will trade within same range tomorrow. See below table for Lagos BDC Fx-Rates.
In the money market, the Overnight (O/N) rate closed at 17.88%, same as 0.21% above the previous closing position. Meanwhile, Open Buy-Back (OBB) rate as at ended at 17.50% that is 0.50% above the previous close.
CRUDE OIL PRICE MOVEMENTS
As at the time this report was gathered, Brent Crude sells at 68.23$/bbl, this is 116Bpts below the last close price. Safe Trade.
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