Nigerian stocks halt losses on higher interest in bank stocks

Nigerian stocks climbed up by 0.1 per cent on Monday, shooting up the return on the total stocks listed on the bourse so far this year 6.1 per cent.

By the end of trading Monday, the stocks broke a two-day spell that began on Thursday amid electioneering uncertainties in Africa’s largest economy.

Yet to regain its pre-pandemic buoyancy, trade remains largely muted as foreign investors stayed away from Nigerian equities for fear that the current dollar shortage may hinder them from redeeming their investment.

That dilemma has become more complicated with uncertainty as Nigerians go to the polls later this month.

“We expect the depressed interest rate environment to continue to favour the equities market in line with our expectations for Q1-2023,” investment bank United Capital said in its outlook note for this week.

“We note that the profit-taking activities seen during the week (last week) serve as a caution to market participants as the bears may fully resume,” it added.

Market breadth was positive on Monday as 17 gainers were reported compared to 9 decliners.

The all-share index grew by 37.4 basis points to 54,364.7, while market capitalisation advanced to N29.6 trillion.

Conoil appreciated by 10 per cent to close at N35.3 while MRS enlarged by 8.2 per cent to end trade at N23. Chams rose to N0.27, notching up 8 per cent in the process. GSK went up by 6.8 per cent to N6.2, and Champion Breweries completed the top 5, climbing by 6.2 per cent to N4.78.

CWG led losers, declining by 9.2 per cent to close at N0.89. Fidelity shed 2.9 per cent to end trade at N5.42 while NAHCO fell to N8.2, losing 2.4 per cent. FBN Holdings slumped to N11.65, recording 1.7 per cent depreciation. Vitafoam closed at N20.9, going down by 1.4 per cent.

In all, 140.8 million shares estimated at N3.2 billion were traded in 3,553 deals.

UBA was the most active stock with 28.6 million of its shares worth N239.7 million traded in 171 deals. GTCO’s shares of 22.9 million units, priced at N575.3 million, exchanged hands in 206 transactions. Access Holdings had 14.7 million shares valued at N134.2 million traded in 132 deals. Zenith traded 12.6 million shares estimated at N319.2 million in 250 transactions.

Meanwhile, Chams traded 5.5 million shares valued at N1.5 million in 19 deals.