The Nigerian equities market today advanced by 20 basis points as against 235 basis points appreciation recorded yesterday. At the end of today’s trading session, the ratio of advancers to decliners closed at 3:1. The ASI gained 45 points to close at 23, 071.66 while the market capitalization increased by $0.69 billion to close at US$35.76 billion (N5.364 trillion). The value of transactions consummated today increased significantly by 260% to $41.19 million (N7.378 billion) from $13.68 million (N2.052 billion) recorded yesterday.
Beco Petroleum Products Ltd is to be listed on the NSE by Introduction on Wednesday 7th of October, 2009 Cadbury Nigeria Plc, today, held an interactive forum with the Exchange’s management, stockbrokers, accredited capital market correspondents and the investing public on facts behind its offer. The offer (rights issue) is to raise funds to pay off debts, shore up working capital, replace old equipment and increase shareholders fund.
The market opened on a bullish note, posting gains in excess of 1.75% at the commencement of proceedings. The tide however changed drastically after mid-session as supply pressure overwhelmed available demand on some stocks, though, the index closed with the bulls only managing to suppress the bears.
Stock prices initially seemed to be heading north for all stocks as the buying frenzy of previous session appeared to extend into today’s session. However, the hope of price gain on stocks like First Bank, Zenith Bank, UBA, Unilever and Dangsugar was short lived as intense supply pressure forced down prices limit low with offer volumes remaining unfilled. Other stocks such as Guaranty, Skye Bank, FCMB, Oceanic, UBN, Fidelity and Access still sustained a rally as investors continue to jostle fiercely for the paltry supplies available. NB, ETI, UAC-Prop, Oando also propelled the market as these stocks booked healthy gains.
The radical change in market trend during today’s proceedings might encourage panic selling in the coming session. This may drag the index lower.
• Overall, there were 565 gainers, 19 losers and 46 stocks remained unchanged.
• The Banking sector led the value chart accounting for 85.3% of total value traded today.
• Access Bank Plc traded 419.85 million of shares to top the overall volume in the activity chart. 93.4% of these trades were consummated in blocks. Others in the top echelon are First Bank, Zenith Bank,
UBA and Guaranty.
• Net Offer: Investment and Allied Insurance, Staco and Transcorp.
• Net Bid: Fidelity Bank, Oceanic, and FCMB.