Buy interest in Nigerian Breweries, Nestle and Stanbic IBTC reversed Nigerian equities market 2-day downtrend Thursday as the all-share index (ASI) advanced 0.2 percent to 36,732.24 points while year-to-date gain increased to 36.7 percent.
As a result, market capitalization gained N27.3 billion to settle at N12.6 trillion.
Specifically, NIGERIAN BREWERIES gained 0.6 percent, NESTLE 0.7 percent and STANBIC 2.9 percent as market activity level improved with volume and value traded spiking 31.9 percent and 73.1 percent to 443.7 million units and N3.2 billion respectively.
Performance across sectors was bullish as all indices, save for the banking index which was dragged 0.3 percent lower due to depreciation in GUARANTY (-0.7%) and UBN (-4.2%), closed in the green.
The insurance index appreciated the most, up 2.1 percent against the backdrop of sustained interest in MANSARD (+6.5%) and LINKASSURE (+5.0%). Similarly, the consumer goods index trailed, rising 0.6 percent following a rally in NIGERIAN BREWERIES (+0.6%) and NESTLE (+0.7%).
Likewise, the oil & gas index inched up 0.2 percent owing to renewed appetite in FORTE (+2.0%), while the industrial goods index closed flat.
Investor sentiment strengthened today as the market breadth improved to 2.5x (from 1.1x recorded previously) after 30 stocks advanced against 12 decliners.
At the top of the gainers’ chart were MANSARD (+6.5%), DIAMOND (+5.0%) and LINKASSURE (+5.0%) while UPL (-4.9%), FIDSON (-4.6%) and NEIMETH (-4.2%) topped the losers’ chart.
Given the upturn in today’s market performance and the significant improvement in market breadth, analysts are expecting investors’ sentiment to remain strong in anticipation of Q3:2017 corporate earnings. To this end, they envisage benchmark index to close the week positive.
However, North and South American markets were lower Thursday with shares in Brazil off the most. The Bovespa went down 0.31 percent while Mexico’s IPC is off 0.10 percent and U.S.’s S&P 500 lower by 0.03 percent.