Capital Market Featured

NSE: Market capitalisation gains N2.22trn in 7 days of trading

The market capitalisation of the Nigerian Stock Exchange (NSE) rose N2.22 trillion or 17.10 per cent in seven trading sessions with the market maintaining upward trend since beginning of 2020.

Data obtained on Sunday showed that the market capitalisation, which opened on Jan. 2 at N12.958 trillion rose by N2.22 trillion to close at N15.174 trillion on Jan. 10.

Also, the All-Share Index rose by 2,573.32 points or 9.59 per cent during the period to close at 29,415.39, compared with the opening year index of 26,842.07.

The nation’s bourse posted 9.1 per cent gain last week, the largest weekly return for two-years, to emerge the world’s best-performing stock market for the week.

Mr Ambrose Omordion, the Chief Operating Officer, InvestData Ltd, attributed the growth to activities of investors who anticipate higher dividend yields.

“Local institutional investors and funds managers are taking advantage of the two consecutive years of decline to reposition their portfolios for the New Year expectations,” Omordion said.

He stated that investors were optimistic that the current economic recovery would likely to continue, thereby resulting to enhanced dividend yields higher than the prevailing money market rates.

Omordion added that the listing of BUA Cement of 33.86 billion ordinary shares at N35 per share contributed to the growth of the stock market.

He noted that rise in oil price in the global market due to the conflict between the United States of America and lran contributed to the stock market trend.

Omordion, however, said investors should not be carried away but set investment goal or target before jumping in any position whether for long or short term.

Mr Moses Igbrude, President, Issuers and Investors Alternative Dispute Resolution Initiative, attributed the steady upward movement in the equities market to stability in political arena.

Igbrude said the instability in the Middle East as a result of conflict between Iran and American increased foreign investors’ interest in the NSE.

However, analysts at Cordros Reseacher, expect profit taking to dominate activities in the market this week.

“Looking ahead, while we expect profit-takers to dominate activities in the coming week, we still see significant legroom for a further rally as the elevated maturities from fixed income instruments hunt for investment vehicles.

“Nonetheless, we advise investors to cherry-pick fundamentally sound stocks,” they said.

 

 

Related posts

Aghoro Community in Bayelsa raises alarm over SPDC’s breach of spill compensation procedure

Editor

Wabote lists benefits of NLNG Train 7

Abisola THOMPSON

Acting I-G appoints Mba as new FPRO

Editor

NNPC dispels report of looming petroleum products shortages

Editor

I can vouch for Atiku, he has learnt his lessons – Obasanjo

Editor

Eko Disco to give 100 free prepaid meters to customers

Editor

3 comments

Buy Digestive Health January 25, 2020 at 11:00 am

whoah this blog is fantastic i like reading your posts. Stay up the good work! You already know, many individuals are looking round for this information, you could help them greatly.

Reply
Buy Marble Handicraft January 25, 2020 at 1:19 am

Hey there this is kind of of off topic but I was wondering if blogs use WYSIWYG editors or if you have to manually code with HTML. I’m starting a blog soon but have no coding skills so I wanted to get guidance from someone with experience. Any help would be greatly appreciated!

Reply
verthilertva January 16, 2020 at 3:22 am

I went over this web site and I conceive you have a lot of fantastic info, saved to fav (:.

Reply

Leave a Comment

Social Media Auto Publish Powered By : XYZScripts.com