FREE

Late gains in bellwether stocks lift ASI up 31bps

What shaped the market today?

• The Nigerian bourse capped the choppy week in the green as late gains across select bellwether stocks lifted the NSE ASI (31bps). On the global front, European markets were mixed as investors reacted to the ECB’s decision to extend its monetary easing programme but at a reduced scale. Asian markets also traded mixed amidst political uncertainty in South Korea whilst U.S. futures pointed to a higher open.
• After pausing for breath in yesterday’s session, the Oil & Gas sector (+123bps) swung back to the positive as FO notched another limit up close, offsetting sustained profit taking in MOBIL (-70bps) and a dip in SEPLAT (-85bps). The Consumer Goods (+83bps) and Financial Services sector (+53bps) also closed higher following gains in heavyweights – NB (+208bps), ETI (+354bps) and GUARANTY (+43bps). The Industrial Goods sector was left in the dust, as it closed 193bps under water after a slip in WAPCO (-509bps) and CAP (-218bps) outweighed gains in PORTPAINT (+43bps).
• Market breadth turned positive with 25 advances and 16 declines.

What will shape the next trading session?

• We expect this week’s mixed trading to persist in the coming week as investors remain quick to take profit whilst seeking bargains for beaten-down stocks.