The Nigerian equities market sustained its positive performance Tuesday as benchmark index, the NSEASI advanced 0.8 percent to settle at 39,167.39 points while year-to-date (YTD) return strengthened to 2.4 percent from the 1.6 percent.
The day’s bullish performance was largely influenced by buying interest in large cap stocks – DANGCEM (+1.4%), NESTLE (+3.1%) and SEPLAT (+8.1%). Accordingly, market capitalization gained N116.6 billion to close N14.2 trillion.
Although volume traded declined by 43.4 percent to 341.5 million units, value traded rose 33.6 percent to N5.2 billion. The top traded stocks by volume were UCAP (82.7m), DANGSUGAR (56.9m) and AFRIPRUD (49.6m) while GUARANTY (N1.9bn), DANGSUGAR (N1.2bn) and DANGCEM (N522.7m) were the most traded stocks by value.
Sector performance was largely bullish as all indices save the banking index, which lost 4bps due to profit taking in ACCESS (-1.8%), ZENITH (-0.4%) and GUARANTY (-0.2%), closed in the green. The oil & gas index outperformed other indices (reversing the negative performance from the last session), up 4.9 percent, on the back of price appreciation in SEPLAT (+8.1%) and MOBIL (+5.0%).
The insurance index followed suit as gains in NEM (+4.8%), EQUITYASSUR (+4.8%) and WAPIC (+4.2%) pushed the index 0.9 percent higher. Similarly, the industrial and consumer goods indices rose 0.5 percent and 0.4 percent as a result of buying interest in DANGCEM (+1.4%) and NESTLE (+3.1%) respectively.
Investor sentiment as measured by market breadth (advance/decline ratio) softened as 37 stocks advanced compared to 21 stocks that declined.
The top performing stocks were SEPLAT (+8.1%), MOBIL (+5.0%) and NEM (+4.8%) while PRESTIGE (-4.7%), ETERNA (-4.5%) and FCMB (-4.2%) were the worst performing stocks.
Analysts at Afrinvest say they expect market performance to remain upbeat in the near term as investors continue to take position in market bellwethers currently trading at attractive entry prices.