Stock market reopens upbeat as capitalisation rises by N60 billion

Following gains recorded by most blue chip stocks, the Nigerian Exchange Limited (NGX) reopened in uptrend yesterday, as market capitalisation gained N60 billion.

Yesterday, the All-Share Index (ASI) increased by 113.99 absolute points, representing a growth of 0.29 per cent to close at 39,312.74 points while the overall market capitalisation rose by N60 billion to close at N20.491 trillion.

The upturn was driven by price appreciation in large and medium capitalised stocks amongst which are; Zenith Bank, Guaranty Trust Bank, Okomu Oil, Africa Prudential and Lafarge Africa.

Analysts at United Capital Plc said: “We expect the overall theme of the market to tilt towards the bears, considering the anticipated NTB auction scheduled to hold later in the week. However, following profit-taking last week, we expect investors to pick up attractive stocks on the dip in the earlier trading sessions.”

Consequently, the market breadth closed positively, recording 28 gainers against 15 losers.

Associated Bus Company and Regency Alliance Insurance recorded the highest price gain of 9.68 per cent each to close at 34 kobo each, while Union Bank of Nigeria (UBN) followed with a gain 9.26 per cent to close at N5.90 kobo.

Linkage Assurance rose by 8.70 per cent to close at 75 kobo, while Mutual Benefits Assurance and Africa Prudential gained 8.11 per cent each to close at 40 kobo and N6.00 kobo.

On the other hand, Unity Bank led the losers’ chart by 8.33 per cent to close at 55 kobo, per share. Japaul Gold and Ventures followed with a decline of 6.67 per cent to close at 56 kobo, while Neimeth International Pharmaceuticals lost 6.04 per cent to close at N1.71 kobo.

Flour Mills of Nigeria lost 4.84 per cent to close at N29.50, while Chams Plc and Nigerian Aviation Handling Company (NAHCO) shed 4.55 per cent each to close at 21 kobo and N2.10 kobo .

The total volume of trades increased by 35.68 per cent to 324.187 million units, valued at N3.281 billion, and exchanged in 4,867 deals.

Transactions in the shares of eTranzact International topped the activity chart with 72.176 million shares valued at N162.396 million.

Zenith Bank followed with 44.001 million shares worth N1.015 billion, while Access Bank traded 22.979 million shares valued at N189.174 million.

United Bank for Africa (UBA) traded 16.585 million shares valued at N119.353 million, while AXA Mansard Insurance transacted 16.43 million shares worth N14.202 million.