Nigeria Content Online

The two weeks
continuous downturn at the Nigerian Stock Exchange threatens the much
anticipated recovery in this year’s second quarter.

The Exchange’s
All-Share Index and market capitalisation, the two main parameters for
measuring market performance, bounced back on Tuesday, but could only
gain marginally by 1.45 per cent.

Meanwhile, about N585.937 billion was lost during the bearish period last two weeks.

The market
capitalisation of the 198 First-Tier equities closed yesterday, at
N6,491 trillion after opening the day at N6,398 trillion, reflecting
over N93 billion upturn. The NSE All-Share Index was also up by 383.83
units to close at 26,837.03 basis points, overturning the 26,453.20
points recorded on the last trading day.

New regulations

Analysts said the
outlook at the close of trading session was encouraging because all
other market performance parameters recorded positive figures.

Gbenga Emmanuel, a
finance analyst at WealthZone Company, said the new rules and
regulations recently released by the Securities and Exchange Commission
“is expected to further drive the market to positive trend.”

Also, equity
analysts at Proshare Nigeria Limited, an investment advisory firm,
said, “The positive performance recorded could be attributed to the
fact that investors are taking advantages of the massive decline
recorded in many stocks in the previous month most probably for capital
appreciation as the rebound continues.”

Gainers and losers

At the close of
Tuesday’s trading, a total of 67 stocks appreciated in price while 27
stocks shed their prices. Over 500.301 million shares, valued at N3.913
billion, were traded in 6,668 deals.

UAC Nigeria and
Cadbury topped the price gainers’ table with an increase of N2.51 and
N1.18 on their initial prices of N50.31 and N23.61 per share,
respectively.

UAC Property and
Dangote Flour followed in the chart with an increase of N1.18 and N1.08
respectively, to close at N24.91 and N22.82 per share.

On the flip side,
Conoil Nigeria and Flour Mills led the price losers’ chart with a loss
of N2.80 and N2.79 respectively, from their opening prices of N56.13
and N73.99 per share. ENAMELWA and NNFM followed with N2.38 and N1.95
losses respectively, to close at N45.32 and N37.19 per share.

Zenith Bank, Equity
Assurance, and Aso Savings & Loans were the most traded stocks
yesterday, followed by United Bank for Africa and International Energy.

Active sectors

The banking sub
sector led the most active sub sectors’ chart with 220.650 million
volumes of shares, valued at over N2.508 billion.

Volume in the sub sector was driven by trading in shares of Zenith Bank, United Bank for Africa, and Guaranty Trust Bank.

Trading activities
in the Insurance sub sector followed, with 153.686 million shares
valued at N116.582 million. Deals in shares of Equity Assurance,
International Energy Insurance, and Staco Insurance boosted volume in
this sub sector.

The mortgage sub
sector came third in the activity chart, with 29.996 million shares
worth N16.450 million. Volume in the sub sector was largely driven by
trading in the shares of Aso Savings & Loans and Union Homes
Savings & Loans.