KEY POINTS
- Nigerian stock market gained N308 billion, closing at N165.415 trillion.
- All-Share Index rose by 0.19 per cent to 254,762.81 points.
- Transcorp Power led gainers with a 9.97 per cent increase.
- Trading volume rose by 5.11 per cent to 552.31 million shares.
MAIN STORY
The Nigerian stock market added N308 billion on Wednesday as sustained buying interest in medium and large-capitalised stocks pushed the market higher.
The positive performance lifted market capitalisation by 0.19 per cent to N165.415 trillion from N165.107 trillion recorded at the close of trading on Tuesday, according to market data reported by the News Agency of Nigeria (NAN).
The gain also strengthened the market’s year-to-date return to 63.72 per cent, while the All-Share Index advanced by 473.46 points to close at 254,762.81 points, compared with 254,289.35 points in the previous session.
The market’s positive movement was supported by gains in Transcorp Power, Caverton Offshore Support Group, Etranzact, Haldane McCall and International Energy Insurance.
Market breadth also closed on a positive note, with 27 stocks appreciating against 23 decliners, indicating that more equities recorded price increases than losses during the session.
Transcorp Power topped the gainers’ chart, rising by 9.97 per cent to close at N203 per share. Caverton Offshore Support Group followed with a 9.84 per cent increase to N3.35, while Etranzact gained 9.68 per cent to settle at N17.
Haldane McCall appreciated by 7.36 per cent to N3.50, while International Energy Insurance advanced by 7.27 per cent to close at N1.77 per share.
However, losses in some equities limited the market’s overall advance. Eternal led the losers’ chart, shedding 9.94 per cent to close at N38.50 per share.
Sovereign Trust Insurance declined by 9.91 per cent to N1.91, while Learn Africa lost 9.84 per cent to settle at N8.25. Cornerstone Insurance fell by 9.30 per cent to N3.90, while Mutual Benefits Assurance dropped by 6.85 per cent to N2.72 per share.
Trading activity strengthened during the session, with the volume of shares traded increasing by 5.11 per cent to 552.31 million shares. The transactions were valued at N37.46 billion and executed in 33,047 deals.
First Holdco accounted for the largest share of trading activity by volume, with 125.21 million shares exchanged. This represented 22.67 per cent of the total volume traded during the session.
The shares were valued at N12.67 billion, accounting for 33.82 per cent of the day’s total traded value.
THE ISSUES
The market’s advance reflected stronger demand for selected medium and large-capitalised stocks, with five equities recording gains of more than seven per cent.
However, the 23 declining stocks show that the positive performance was not shared across the entire market. The gains in market capitalisation and the All-Share Index therefore coincided with losses in several individual equities.
WHAT’S NEXT
Investors will be watching whether buying interest in major stocks can sustain the market’s upward movement in subsequent trading sessions.
BOTTOM LINE
The Nigerian stock market gained N308 billion on Wednesday, supported by advances in key equities and stronger trading activity, pushing its year-to-date return to 63.72 per cent.
