From the trader's desk... The Nigerian equities market maintained its bullish performance as the benchmark index (ASI) again appreciated significantly by 1.58% d/d to close at 29,437.60 points, while the YTD performance also improved to 9.67%. The positive performance resulted from continued bargain hunting activities in counters such as NESTLE (+10.00%), TOTAL (+597bps), UBA (+278bps)and DANGCEM (+217bps)among others. We saw a mix of both retail and institutional investors taking position in the market today. Just like the previous session, activity levels for the day again closed mixed, with the total volume traded declining marginally by 2.68% while the total turnover increased significantly by 59.02% (thanks to trades in BUACEMENT, ZENITHBANK and GUARANTY which contributed about 53.00% to the total turnover). Still on the positive run, investors' confidence closed deep in the green, as the market breadth settled at 8.20x (courtesy of 41 gainers against 5 decliners). For a breakdown of stock performances, please see thepricelist.
What will shape the market tomorrow? The Bulls again dictated the direction of the market, leading to a positive close in a number of counters while all sectors again closed in the green. With a better than expected results being posted by bellwether stocks and more of such expected in the next few sessions, we anticipate an extended bullish performance on Friday, upon resumption from the EID-EL-MAULUD break. However, with five consecutive sessions of capital appreciation already, the possibility of profit taking on recent gains cannot be overruled. Stocks to Watch On the Bid Cart: The domestic bourse continued to enjoy positive investors' patronage, as bargain hunting activities were recorded in a number of mid/large cap stocks, thereby leading to a positive close in NESTLE (+10.00%), ETI (+755bps), FLOURMILL (+642bps), ARDOVA (+630bps), TOTAL (+597bps), GUINNESS (+385bps), UBN (+381bps), JBERGER (+355bps), FBNH (+325bps), UBA (+278bps), DANGCEM (+217bps)and ZENITHBANK (+23bps) among others.
On the Offer Cart: ROYALEX led the other four decliners for the day, declining 800bps to close lower at ₦0.23. A total of 1.5mn units were traded in today's session, with most of the trades occurring at the offer side.