- The Nigerian equities market opened the week with a gain of N804 billion, raising market capitalisation to N125.968 trillion and boosting the All-Share Index by 1,273.79 points
- Okomu Oil Palm and Fortis Global Insurance led the gainers with 10% rises, while Initiates and other stocks recorded losses amid a flat market breadth of 35 gainers and 35 losers
- Trading volume surged 57% to 1.3 billion shares valued at N31.5 billion, while the NGX cautioned investors to consider fundamentals amid unusual price movements
The Nigerian equities market opened the week on a positive note on Monday, recording an N804 billion gain in investors’ wealth, driven by strong buying activity across key sectors.
Market capitalisation on the Nigerian Exchange Limited (NGX) rose from N125.164 trillion at the start of trading to N125.968 trillion at the close, representing an increase of N804 billion, or 0.64 percent. Similarly, the All-Share Index (ASI) gained 1,273.79 points, or 0.64 percent, to settle at 196,263.56 compared to 194,989.77 recorded on Friday. The development further bolstered the market’s year-to-date return to 26.12 percent.
Market breadth closed flat, with 35 gainers and 35 losers. Leading the gainers’ chart were Okomu Oil Palm Company and Fortis Global Insurance, both recording 10 percent gains to close at N1,605.60 and 66k per share, respectively. Other notable gainers included Fidson, NPF Microfinance Bank, and FG20203356.
On the other hand, Initiates topped the losers’ table with a 10 percent decline to N17.55 per share. Other decliners included Deap Capital Management, Multiverse Mining, Livingtrust Mortgage Bank, and Ellah Lakes.
Trading activity showed significant improvement, with a total of 1.3 billion shares valued at N31.5 billion exchanged in 95,091 deals. This compared favourably with 820.5 million shares worth N28.3 billion traded in 63,507 transactions on Friday, representing a 57 percent increase in volume, an 11 percent rise in value, and a 50 percent growth in deals. Japaul Gold led in volume terms, with 473.98 million shares traded, accounting for 36.78 percent of total turnover, while Aradel led in value, recording N4.14 billion worth of trades, representing 13.14 percent of the day’s total value.
Meanwhile, the NGX issued a cautionary alert to investors regarding sharp and unusual price movements in some listed companies. The exchange noted that significant volatility observed in recent sessions may not reflect the underlying fundamentals of affected firms.
“Investors are encouraged to base their decisions on careful analysis of companies’ fundamentals, risk profile, and financial performance,” the NGX stated. The Exchange added that it remains vigilant in its surveillance to safeguard market integrity and protect investors.
CBN, SEC sanction 10 banks for forex violations
Meanwhile, TheRadar reported that the regulatory agencies responsible for overseeing the activities of deposit money banks in Nigeria sanctioned 10 banks for violations of foreign exchange guidelines and other regulatory offences.
These agencies, including the Central Bank of Nigeria and the Securities and Exchange Commission, imposed fines totalling N1.502 billion as penalties within the first six months of 2024.