The stock market is buzzing with excitement as banks’ stocks continue to attract buyers, causing the index to rise by 0.07%. This surge in buying interest has particularly benefited FBN Holdings Plc and Fidelity Bank Plc, leading to a positive trend in the Nigerian Exchange Limited (NGX) All-Share Index (ASI).
At the close of trading yesterday, the ASI experienced a gain of 46.18 points, marking a 0.07% increase to reach 70,819.49 points. Additionally, the market capitalisation saw a rise of N26 billion, closing at N38.911 trillion.
This upward movement was primarily driven by the increase in the prices of large and medium capitalised stocks, including UAC of Nigeria (UACN), FBN Holdings (FBNH), Fidelity Bank, GlaxoSmithKline Consumer Nigeria, and MeCure Industries.
According to analysts at Vetiva Dealings and Brokerage, the market activity has seen a significant boost due to improved trades in the banking and telecoms sectors. They anticipate a positive and busy end to the week for the market.
Despite the overall positive sentiment, the market breadth reflected a slightly negative sentiment with 26 stocks gaining in comparison to 27 decliners. UPDC emerged as the top price gainer with a 9.91% increase, closing at N1.22. MeCure Industries followed closely with a gain of 9.85%, closing at N3.57, while SCOA Nigeria advanced by 9.73% to close at N1.24.
Japaul Gold and Ventures also experienced a significant rise of 9.58% to close at N1.83, and UACN appreciated by 8.47% to close at N16.00 per share. On the flip side, VFD Group led the losers’ chart with a 10% decline, closing at N184.50. Multiverse Mining and Exploration followed with a 9.38% decline, closing at N2.90, while The Initiates Plc (TIP) was down by 9.35% to close at 97 kobo. Regency Alliance Insurance lost 8.57% to close at 32 kobo, and DAAR Communications depreciated by 8.33% to close at 22 kobo.
The total volume of trade saw a 1.9% increase, reaching 569.19 million units valued at N16.79 billion and exchanged in 6,169 deals. Japaul Gold and Ventures led the activity with 113.964 million shares worth N208.555 million, followed by Stanbic IBTC Holdings with 96.918 million shares valued at N6.778 billion, and United Bank for Africa (UBA) with 75.218 million shares valued at N1.548 billion. FBNH and Fidelity Bank also contributed significantly to the trade volume.
In other news, NGX Regulation Limited (NGX RegCo) has affirmed its dedication to ensuring fairness and transparency in the capital market. This commitment aims to enhance investor confidence and promote financial inclusion in the retail investor ecosystem. During the NGX RegCo Retail Investor Workshop in Lagos, Abimbola Babalola, the Head of Market Surveillance and Investigations at NGX RegCo, highlighted the organization’s focus on protecting investors. He emphasised the use of technology-driven methods to detect any attempts to take advantage of the market.
Jude Chiemeka, the Executive Director, Capital Markets at NGX, stressed the importance of creating a market that allows everyone to participate in the financial market, aligning with Nigeria’s goal of achieving 95% financial inclusion by 2024.
Stay updated with the latest news on Nigerian and world news, business, technology, and sports. Subscribe to the Guardian for daily news delivered straight to your inbox.
