Dangote Cement Lifts Market To Highest Weekly Gain In Seven Weeks
The Nigerian bourse for the week ended Friday July 24 recorded the highest weekly gain in seven weeks.
The growth was driven by a one-off gain on Thursday, a surge in Dangote Cement (DANGCEM) by 6.5 per cent, led the Nigerian domestic bourse to record its largest weekly gain in seven weeks.
Thus, the NSE All-Share Index (ASI) and equities capitalization advanced week on week (w/w) by 0.6 per cent to 24,427.73 points and N12, 742,950,223,566.93 trillion respectively. The week’s growth was also supported by 1.7 percent gains in MTNN and STANBIC’s 3.5 per cent growth.
However, sentiments remained weak in the domestic market amidst rising COVID-19 cases in the country as well as persisting foreign exchange (FX) illiquidity.
Notably, the Month-to-Date (MTD) and Year-to-Date (YTD) losses moderated to -0.2 per cent and -9.0 per cent, respectively.
Analysing by sectors, the Oil & Gas index declined by 4.7 per cent and led the losses, followed by the Insurance index by -0.8 per cent, Banking index by -0.6 per cent and Consumer Goods index by -0.4 per cent. The Industrial Goods index appreciated by 0.6 per cent, and was the sole gainer for the week.
Experts views on the market continued to favour cautious trading owing to the fact the gains recorded in the week were not broad-based, as risks remain on the horizon due to a combination of the increasing number of COVID-19 cases in Nigeria and weak economic conditions. Investors, however, need to seek trading opportunities in only fundamentally justified stocks.
FIDSON HEALTHCARE led the gainers for the week with N0.48 or 18.11 per cent, to close the week at N3.13 per share, followed by Unity Bank with N0.07 or 15.56 per cent growth to close at N0.52 per share, ROYAL Exchange the third best gainer for the week at N0.31 per share, while Custodian Investment gained N0.70 or 14.58 per cent, to end the week at N5.50 per share.
JULIUS BERGER closed the week as the fifth-best gainer with N1.55 or 10.00 per cent growth to end the week at N17.05 per share, HONEYWELL FLOUR, placed sixth on the week’s gainers chart with N0.08 or 8.33 per cent growth, closing at N1.04 per share, MAY & BAKER, the seventh on the gainers list appreciated by N0.22 or 7.91 per cent, to end at N3.00 per share.
VITAFOAM closed the week as the eight best gainer with N0.42 or 7.88 per cent, to close at N5.75 per share, NPF MICROFINANCE BANK placed eight on the chart with N0.10 or 7.58 per cent growth to close at N13.45 per share, while ARDOVA closed the top ten gainers chart for the week with N0.90 or 7.17 per cent, ending the week at N13.55 per share.
PRESTIGE ASSURANCE led the losers for the week with N0.08 or 14.81 per cent, to end the week at N0.46 per share, followed by INTERNATIONAL BREWERIES with N0.40 or 10.53 per cent decline, to close at N3.40 per share, SEPLAT PETROLEUM, the third on the week’s losers chart dipped by N38.60 or 10.00 per cent, to close at N347.40 per share, while CORNERSTONE INSURANCE, as the fourth on the losers chart, depreciated ins hare price by N0.05 or 9.09 per cent, to end the week at N0.50 per share.
CAP PLC declined by N1.70 or 8.23 per cent, ending the week at N18.95 per share, CONSOLIDATED HALLMARK INSURANCE placed sixth on the week’s loser’s chart with N0.04 or 8.16 per cent decline to close at N0.45 per share, while LASACO ASSURANCE closed seventh on the week’s losers chart with N0.02 or 7.69 per cent dip, to end the week at N0.24 per share.
NEIMETH INTERNATIONAL PHARMACEUTICALS lost N0.10 or 6.67 per cent to close at N1.40 per share, BUACEMENT, closed ninth on the losers chart with N2.45 or 5.91 per cent dip, ending the week at N39.00 per share, while STERLING BANK, closed the week’s top ten losers chart at N1.18 per share, having declined by N0.07 or 5.60 per cent.
For the five sessions of trading during the week, market closed bearish on four sessions and bullish on one session (Thursday)
Domestic Equities Market Index Declines by 0.34% amid Renewed Bearish Activity; NIBOR Rises for All Tenor Buckets amid Renewed Liquidity Strain
on Friday, the local bourse reversed Thursday’s gains as the NSE All Share Index (ASI) fell by 34bps amid renewed bearish sentiment; albeit, market’s 17 gainers outweighed the 13 number of losers at the close of trading session, hence, the year to date loss of the NSE ASI rose to 8.99 per cent.
Specifically, investors sold some of their holdings in tickers such as SEPLAT, BUACEMENT, UNILEVER and UBA; hence their respective share prices moderated by 10 per cent, 2.50 per cent, 4.67 per cent and 1.64 per cent respectively.
The NSE Oil/Gas led the laggards as it moderated by 4.98 per cent, followed by NSE Industrial and NSE Consumer Goods indices by 1.01 per cent and 0.08 per cent respectively.
On the positive side, the NSE Banking and NSE Insurance rose by 0.01 per cent and 0.29 per cent respectively.
Meanwhile, the volume and value of stocks traded on Friday rose by 6.03 per cent and 12.17 per cent to 0.17 billion units and N2.3 billion respectively.