Fresh bargain triggers stock market rebound by N113b

Renewed bargain hunting witnessed in the shares of some companies, especially UACN, buoyed transactions on the equities sector of the Nigerian Stock Exchange (NSE) yesterday, as market capitalisation appreciated by N113 billion.

Yesterday, the benchmark index gained 309.18 absolute points, representing a growth of 0.95 per cent to close at 32,722.18 points. Similarly, market capitalisation rose by N113 billion to close at N11.946 trillion.

The upturn was significantly impacted by gains recorded in medium and large capitalised stocks.

Analysts at Afrinvest Limited said: “We anticipate sustained bargain hunting in bellwethers till midweek as investors take advantage of cheap entry prices.”

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Nigerian Stock Exchange

Renewed bargain hunting witnessed in the shares of some companies, especially UACN, buoyed transactions on the equities sector of the Nigerian Stock Exchange (NSE) yesterday, as market capitalisation appreciated by N113 billion.

Yesterday, the benchmark index gained 309.18 absolute points, representing a growth of 0.95 per cent to close at 32,722.18 points. Similarly, market capitalisation rose by N113 billion to close at N11.946 trillion.

The upturn was significantly impacted by gains recorded in medium and large capitalised stocks.

Analysts at Afrinvest Limited said: “We anticipate sustained bargain hunting in bellwethers till midweek as investors take advantage of cheap entry prices.”

The Chief Executive Officer of Investdata Consulting, Ambrose Omodion urged investors to review their positions in line with investment goals, strength of the company numbers and act as events unfold in the global and domestic environment.

“However, we would like to reiterate our advice that investors should go for equities with intrinsic value, we advise investors to allow numbers guide their decisions while repositioning in any stock, especially now that stock prices remain volatile amidst mixed company, economic and market fundamental.”

Market breadth was negative, with 16 gainers versus 23 losers. UACN Property Development Company recorded the highest price gain of 9.94 per cent, to close at N1.77 per share.

Cutix followed with a gain of 9.73 per cent to close at N2.03, while Unilever Nigeria gained by 5.58 per cent to close at N43.50 per share.
FBN Holdings went up by 3.35 per cent to close at N9.25, while Cadbury Nigeria appreciated by 3.16 per cent to close at N9.80 per share.

On the other hand, Beta Glass led the losers’ chart by 10 per cent, to close at N70.20, while Julius Berger followed with a loss of 9.83 per cent to close at N21.55, per share.

Niger Insurance shed 9.09 per cent to close at 30 kobo, while Japaul Oil & Maritime Services and Universal Insurance declined by 8.70 per cent, each to close at 21 kobo, each per share.

The total volume traded appreciated by 624.27 per cent to 662.02 million shares, worth N5.31 billion, and traded in 3,025 deals. Transactions in the shares of Sunu Assurance topped the activity chart with 500.12 million shares worth N100.02 million.

Regulators seek collaboration to deepen financial inclusion, digitisation

To ensure that Nigeria remained a globally competitive investment destination, there is need for capital market stakeholders to deepen collaborative efforts, and determine which emerging technologies to pursue within the local context.

This formed the highlights of discussions at the third edition of the NSE Market Data Workshop, with the theme; “Digitisation, Disruption, and Financial Inclusion,” at the weekend in Lagos.

Specifically, the Chief Executive Officer, Nigerian Stock Exchange (NSE), Oscar Onyema, said the financial industry in Nigeria has experienced tremendous transformation caused by disruptive technologies in the past few years.

According to him, digitalisation is fast gaining momentum in the capital market eco-system, even as purpose-built solutions are being developed to reduce redundancies, cut costs, and increase efficiencies for greater transparency and alpha returns.

He, however, regretted that “The overall participation of the Nigerian capital market in the fourth industrial revolution is far less than that of our counterparts in developed and emerging economies.

“To ensure that Nigeria remains a globally competitive investment destination, we need to deepen the collaborative effort among market stakeholders to determine which emerging technologies to pursue within our markets and local context. This year’s theme provides a unique opportunity to assess these three key areas of digitisation, disruptive technologies, and financial inclusion, to proffer solutions for the challenges facing our capital market.

“It is our hope that this workshop will catalyse the critical-thinking and collaborations that are required to boost the development of innovative, data-driven solutions; as well as their uptake by the investing populace.”

He argued that as emerging technologies such as artificial intelligence, cloud technology, and distributed ledger technology potentially disrupt the capital market infrastructure; access to market data would continue to improve efficiencies and transparency brought by these technologies for the advantage of non-professional investors.

Also, the Acting Director-General, Securities and Exchange Commission (SEC), Ms. Mary Uduk, said the Commission, in collaboration with the Central Bank of Nigeria (CBN), and other sister regulatory agencies, have made important contributions to financial inclusion through valuable guidance and active involvement in the National Financial Strategy (NFS). These are aimed at reducing adult exclusion from financial services to 20 per cent by 2020.

Noting that the challenge of financial inclusion is significant, she added that the nation’s capital market has a variety of powerful tools to drive progress.

Furthermore, she expressed optimism that the NSE is poised to contribute and share even more insights into the collaborative quest to make the Nigerian economy a financially-inclusive one.