Nigeria Content Online

The indices for measuring market performance at the Nigerian
Stock Exchange (NSE) have been unsteady since trading hours were extended last
Monday.

While some market watchers attributed the wobbly stock
performance to the extension of trading hours, some market analysts said it is
too premature to judge the success of the extension.

Analysts at Proshare Nigeria, an investment advisory firm, said,
“Although it is too early to judge the success or otherwise of the trading
hour’s extension based on only the first week of trading, but it is obvious
that the trading volume, price trend, and the NSE share index were not
positively impacted by the extension.”

“We believe that the NSE should have worked on improving the
liquidity of the exchange before extension of trading hours,” they addded.

Meanwhile, stockbrokers at GTI Capital said the market is
expected to pose some resistance following the “swinging character” in recent
period.

“Nevertheless, this may be defiled considering the ongoing
market fundamentals enhanced by festive season. Good investment strategy
remains the medium and long term. Traders may position for expected fourth
quarter result; targeting exit between February-March,” they said.

Banks dominate

The banking subsector of quoted equities at the NSE boosted
market performance on Wednesday, as measuring indices inched up by 0.84 percent
after days of decline.

The banking subsector lead as the most active subsector
yesterday with 195.710 million units valued at N1.578billion, while Access
Bank, First Bank, Guaranty Trust Bank, Zenith Bank, and Intercontinental Bank
were the most traded stocks.

The Exchange market capitalisation of the 201 First-Tier
equities closed on Wednesday at N7.830 trillion after opening the day at N7.765
trillion, reflecting N65 billion gains. Although the market gained N6 billion
after Tuesday’s session, it had lost over N126 billion in the last one week
since the new trading period commenced.

The NSE All-Share Index also gained 0.84 percent or 204.21 units
on Tuesday’s figures of 24,306.83 basis points, to close on Wednesday at
24,511.04.

Low gainers

A total of 25 stocks appreciated in price on Wednesday while 28
stocks depreciated in value. Lafarge Wapco Cement and Nigerian Bottling Company
topped the price gainers’ table with an increase of N1.94 and N1.57 on their
opening prices of N39.00 and N31.53 per share respectively. Dangote Cement and
Dangote Sugar followed in the chart with an increase of N1.50 and 74 kobo, to close
at N124.50 and N16.59 per share.

On the flip side, two petroleum marketing companies, Mobil Oil
and MRS Oil, led the price losers’ chart with a loss of N3.88 and N3.68, to
close at N141.00 and N70.06 per share respectively. Northern Nigeria Flour Mills
and African Petroleum followed with a decrease of N2.09 and 99 kobo on their
initial prices of N41.97 and N23.00 per share respectively.