FeaturedMarket Update

Nigerian Stock Markets Halts Four Days Bearish Moves, Adds 17Bpts

Rebounding from four days bearish moves, equities trading on the floor of The Nigerian Stock Exchange rounded up in the positive territory, as the lead performance pointer –NSEASI gained 17Bpts and closed at 24,972.94 from 24,930.88. It was a mixed performance amongst the observed market indices as shown in the index movement table. Thus, Week to Date, market is 83Bpts below opening while the total lost points in the month of June is now 117Bpts. See the index movement table for details.

As noted in our report yesterday, market finally bounced up and close above the lower Bollinger bands by 13.3% (although this is chiefly boosted by gains on Nestle Foods). Please understand that the band is still closer than normal, in-fact, one can safely conclude that market volatility is still on the low side. General market trend is still a sideway trend and it has maintained this pattern for 15 trading days; the implication of this move is that traders will be forced to stay longer in their respective positions. In our opinion, a major fundamental boost is required to silence indecisiveness and move the market forward. Please understand that one major factor to consider while positioning for expected half year earnings is the possible impact of Covid-19 on the business of your equities of choice.

Value gained by the Market Capitalization of the listed equities during today’s trading activities was N21.878 billion, same as 17Bpts above the opening value. Meanwhile, trading activities for the day produced 10 ADVANCERS and 24 LAGERS. NSEASI Year to Date loss is now 696Bpts while the Market Capitalization Year to Date gain stood at N68.954 billion same as 53Bpts above the year’s opening value.

Leading on the advancers’ log is Nestle Foods that gained 10.00% to close at N1,094.50 from N995.00. Cadbury came next with 6.67% gain to round up trade at N8.00 from N7.50. Flour Mills, Wapic and Transcorp completed the top 5 price percentage gainers for the day with 4.35%, 3.03% and 2.78% gain respectively.

Seplat topped the decliners’ log with 9.99% lost to close at N428.80 from N476.40. Neimeth bowed further to traders’ reaction to the negative half year numbers posted, thus it closed at N1.89 from N2.09 having lost 9.57%. NPFMCRFBK, Mansard ant AIICO completed the log with 9.04%, 9.00% and 8.25% respectively.

As at the time this report was gathered, Brent Crude sells at 40.71$/bbl, this is 61Bpts below the previous close price.

The I&E FX Window opened at N386.39 traded as high as N400.00 before rounding up at N386.00, having transacted a total of $16.06 million through the day. Please note that, margin between the close and open value is 0Bpts down. 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 8.92%, same as 1.83% above the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 8.17% that is 1.83% 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 Stock Markets Halts Four Days Bearish Moves, Adds 17Bpts

Rebounding from four days bearish moves, equities trading on the floor of The Nigerian Stock Exchange rounded up in the positive territory, as the lead performance pointer –NSEASI gained 17Bpts and closed at 24,972.94 from 24,930.88. It was a mixed performance amongst the observed market indices as shown in the index movement table. Thus, Week to Date, market is 83Bpts below opening while the total lost points in the month of June is now 117Bpts. See the index movement table for details.

As noted in our report yesterday, market finally bounced up and close above the lower Bollinger bands by 13.3% (although this is chiefly boosted by gains on Nestle Foods). Please understand that the band is still closer than normal, in-fact, one can safely conclude that market volatility is still on the low side. General market trend is still a sideway trend and it has maintained this pattern for 15 trading days; the implication of this move is that traders will be forced to stay longer in their respective positions. In our opinion, a major fundamental boost is required to silence indecisiveness and move the market forward. Please understand that one major factor to consider while positioning for expected half year earnings is the possible impact of Covid-19 on the business of your equities of choice.

Value gained by the Market Capitalization of the listed equities during today’s trading activities was N21.878 billion, same as 17Bpts above the opening value. Meanwhile, trading activities for the day produced 10 ADVANCERS and 24 LAGERS. NSEASI Year to Date loss is now 696Bpts while the Market Capitalization Year to Date gain stood at N68.954 billion same as 53Bpts above the year’s opening value.

Leading on the advancers’ log is Nestle Foods that gained 10.00% to close at N1,094.50 from N995.00. Cadbury came next with 6.67% gain to round up trade at N8.00 from N7.50. Flour Mills, Wapic and Transcorp completed the top 5 price percentage gainers for the day with 4.35%, 3.03% and 2.78% gain respectively.

Seplat topped the decliners’ log with 9.99% lost to close at N428.80 from N476.40. Neimeth bowed further to traders’ reaction to the negative half year numbers posted, thus it closed at N1.89 from N2.09 having lost 9.57%. NPFMCRFBK, Mansard ant AIICO completed the log with 9.04%, 9.00% and 8.25% respectively.

As at the time this report was gathered, Brent Crude sells at 40.71$/bbl, this is 61Bpts below the previous close price.

The I&E FX Window opened at N386.39 traded as high as N400.00 before rounding up at N386.00, having transacted a total of $16.06 million through the day. Please note that, margin between the close and open value is 0Bpts down. 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 8.92%, same as 1.83% above the previous closing position. Meanwhile, Open Buy-Back (OBB) rate ended at 8.17% that is 1.83% 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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