NGX records modest gain… ASI up 0.9%, 7 month transactions hit N702.9bn in July

The domestic bourse commenced the week on a positive note as price uptick in BUAFOODS, DANGSUGAR, and TRANSCORP pushed the NGX-ASI up by 0.9% to 66,151.38 points. As a result, YTD return improved to 29.0% (previously 27.9%), while market capitalisation gained ₦324.2bn to ₦36.2tn. Activity level faltered as volume and value traded fell 12.6% and 7.5% to 311.1m units and ₦3.9bn respectively. Analysts emphasise targeted policies for long-term investor assurance.

But a look at the seven moth performance of the Nigeria equity market show that transactions hit N702.9 billion in July, surging 72.83% from the previous month’s N406.75 billion. Transaction trend show that domestic investors dominated, by 88 per cent of total transactions, propelled by policy changes including fuel subsidy withdrawal and exchange rate unification. Domestic transactions surged 83.50 per cent monthly, while foreign transactions dipped 11.37 per cent, underscoring the need to boost global confidence. Institutional investors outperformed retail, even as both grew significantly. The “TinuBull” market trend continued, with gains of 6.42%, 9.32%, and 5.53% in May, June, and July, respectively. The market as at Tuesday saw the All Share Index rising by 25.53 per cent year to date, reflecting robust health and growing local investor confidence. Balancing domestic fervour with diverse foreign participation remains vital for sustained stability. 

Nigerian equities opened the week on a positive note, extending gains from the previous session as the All-Share Index closed 0.90% stronger to close at 66,151.38 points. The market’s performance was primarily driven by gains in industrial heavyweight BUAFOODS (+9.09%) alongside FBNH (+0.30%) and UBA (+0.36%) offsetting selloffs in GTCO (-0.28%), ACCESSCORP (-3.32%) and NB (-2.11%). As a result, the year-to-date (YTD) return rose to 29.07%, while the market capitalisation gained ₦324.26bn to close at ₦36.21trn.

Analysis of today’s market activities showed trade turnover settled lower relative to the previous session, with the value of transactions down by 7.52%. A total of 311.12m shares valued at ₦3.92bn were exchanged in 7,193 deals. ACCESSCORP (-3.32%) led the volume chart and value charts with 43.70m units traded in deals worth ₦703.33m Market breadth closed positive at a 1.39-to-1 ratio with advancing issues outnumbering declining ones. DANGSUGAR (+10.00%) led twenty-four (24) others on the leader’s log while NEM (-9.54%) topped seventeen (17) others on the laggard’s table.

Find below key highlights of market activities

Dividend Information for 2023