The Nigerian stock market opened the week on a mixed note, with the All-Share Index (ASI) declining by 0.04% due to profit-taking in Zenith Bank and 24 other stocks. Zenith Bank saw a 2.3% drop in its stock price, contributing to the overall decline in the ASI by 41.70 basis points, which closed at 105,891.33 basis points. Despite the decline in the ASI, market capitalization increased by 0.73% or N477 billion, reaching N66.069 trillion, buoyed by Zenith Bank’s listing of 9.67 billion ordinary shares from its capital offer.
Investor sentiment, measured by market breadth, was positive, with 44 stocks advancing and 25 declining. Stocks like Beta Glass, Smart Products Nigeria, and Stanbic IBTC Holdings recorded the highest gains, rising by 10% each. Other notable gainers included Honeywell Flour Mills and Eterna, which also saw significant price increases. Conversely, several stocks saw losses, with International Energy Insurance leading the losers’ chart, followed by R.T. Briscoe and Julius Berger.
The volume of shares traded increased by 21.15%, with a total of 567.289 million units worth N10.414 billion exchanged in 17,843 deals. Secure Electronic Technology had the highest trading volume, followed by Fidelity Bank, Access Holdings, and UPDC. The trading activity reflects a busy session with strong participation in various stocks.
Looking ahead, analysts from United Capital Plc forecast a continued positive momentum in the equities market as investors position themselves for the upcoming 2024 earnings season and potential corporate actions. However, concerns over the elevated interest rate environment in the fixed-income market may contribute to bearish sentiments remaining in the background.
Source: THIS DAY