Stocks: Market capitalisation sets new record at N14.18tr
The Nigerian Stock Exchange (NSE) market capitalisation yesterday hit a new record of N14.18 trillion at the end of the trading day.
Equities market closed on a positive note as investors gained N330 billion from N37 stocks that recorded gains.
This is the first time the market reaches this level. The closest to this was in July 2014 when the market hit N14.11 trillion.
The All Share Index (ASI) appreciated by +2.38% to close at 39,849.65 basis points as against +0.64% appreciation recorded previously. Its Year-to-Date (YTD) returns currently stands at +4.20%.
Market breath closed positive as Conoil led 37 Gainers as against 9 Losers topped by Vitafoam at the end of today’s session- an Unimproved performance when compared with previous outlook.
Market turnover closes negative as volume moved down by -19.75% as against -8.70% downtick recorded in the previous session.
Transcorp, NB and Diamondbank were the most active to boost market turnover. NB and NESTLE topped market value list.
Japauloil leads the list of active stocks that recorded impressive volume spike at the end of today’s session.
A summary of the trading activities showed that a total of 604 million shares valued at N16.1billion exchanged hands in 5,769 deals.
Similarly, In line with post-’listing requirements of the Nigerian Stock Exchange for quoted companies, Zenith Bank Plc the exchange of its scheduled commencement of the closed period for trading in the bank’s shares on January 8, 2018, in respect of the Audited Accounts and Financial Statements for the financial year ended December 31, 2017.
Kasimu Garba Kurfi Managing Director / Chief Executive Officer APT Securities and Fund Ltd said this type of sudden jump of the market is usually trigger by some major stocks in the market such as Dangote Cement which is controlling about 30 percent of the market. So the more it gain the more the other stocks gains too.
He said with is this type of development there is possibility that the market is up for the best this year.
On the capitalisation, Kurfi said its was up as a result of the increase in the index, according to him, factors such as introduction of new stocks like that of MTN that is likely to be listed at the market this year will also push the market capitalisation up.
Adio A. Alex, National Chairman, Dynamic Shareholders Association, said it will take some times to understand the reasons behind such sudden jump, so it’s not advisable to jump into conclusion and send wrong signals to investors.
“I believes its normal, but let’s wait first and see.” Looking at the trend since last year, the investors sentiment is still positive and but when the market activities fully resumes in the next two weeks we will understand what is really going on.”