Stock Market Gains N1.2trn 1st Trading Day After Emefiele’s Suspension

The domestic equities market gained an impressive N1.215 trillion on the first trading day following, the suspension of Central Bank of Nigeria (CBN) governor, Godwin Emefiele.

Emefiele was suspended last Friday sequel to the ongoing investigation of his office and the planned reforms in the financial sector of the economy.

Precisely, the All Share Index (ASI) gained by 2,232.58 points, representing a growth of 3.99 per cent to close at 58,163.55 points. Also, market capitalisation gained N1.215 trillion to close at N31.670 trillion.

The upturn was impacted by gains recorded in medium and large capitalised stocks, amongst which are; MTN Nigeria Communications (MTNN), BUA Foods, Dangote Cement, MRS Oil Nigeria and Nigerian Breweries.

Analysts at Cordros Securities Limited said, “the market performance was impressive as investors reacted positively to the policy signals and planned financial sector reforms from the new administration.”

As measured by market breadth, market sentiment was positive, as 61 stocks gained relative to 13 losers. Access Holdings, Guaranty Trust Holding Company (GTCO), Lasaco Assurance, NASCON Allied Industries and Zenith Bank recorded the highest price gain of 10 per cent each to close at N14.30, N30.80, N1.98, N17.05 and N30.80 respectively, per share.

Ecobank Transnational Incorporated (ETI) followed with a gain of 9.92 per cent to close at N13.85, while Jaiz Bank rose by 9.77 per cent to close at N1.46, per share.

On the other hand, Ellah Lakes and John Holt led the losers’ chart by 10 per cent each to close at N3.69 and N1.26 respectively, while The Initiates Plc (TIP) followed with a decline of 9.62 per cent to close at 47 kobo, per share.

Caverton Offshore Support Group depreciated by 4.62 per cent to close at N1.24, while Veritas Kapital Assurance declined by 4.35 per cent to close at 22 kobo, per share.

The total volume traded increased significantly by 106.4 per cent to 1.186 billion units, valued at N19.226 billion, and exchanged in 10,369 deals. Transactions in the shares of United Bank for Africa (UBA) topped the activity chart with 214.944 million shares valued at N2.333 billion. GTCO followed with 208.061 million shares worth N6.243 billion, while Zenith Bank traded 85.7 million shares valued at N2.623 billion.

Japaul Gold & Ventures traded 72.596 million shares valued at N37.401 million, while Access Holdings sold 72.112 million shares worth N1.015 billion.