The domestic equity market on Tuesday opened in a bullish run, appreciating by N1.505 trillion after smooth transition into the new administration headed by President Bola Ahmed Tinubu.
The market gained 5.22 per cent to N30.349 trillion from N28.844 trillion reported the previous day.
The NGX All Share Index also appreciated by 2764.47 basis points to 55738.35 points from 52973.88 points it closed on Friday last week.
The positive performance recorded in the market according to stockbrokers was triggered by President Bola Tinubu acceptance speech on Monday which says that the government will unify exchange rate, direct the fund from arbitrage to meaningful investment, and bring down interest rate which is anti-people, too high, and anti-business to encourage investment into the country.
Managing Director of APT Securities and Funds Limited, Malam Garba Kurfi said the statement attracted more investors into the market, noting that multiple exchange rate was one of reasons why foreign investors divest their investment from the nation’s capital market.
He said that the president’s words will bring foreign investors back into the capital market.
He said the growth trend on Tuesday was remarkable because the equity market recorded 5 per cent growth. This according to him is the beginning of good things to come in the capital market because once the exchange rate is unified and the interest rate lowered a lot of people would be willing to play the market.
An Analysis of the investment during the day showed that five companies in the gainers table grew by 10 per cent.
Jaiz Bank, Nigerian Breweries, Eterna Plc led gainers table during the day, gaining 10 per cent each to close at N1.10, N42.35 and N7.70 per share respectively. Sterling Bank and Transco Hotel also gained 10 per cent each to close at N1.98 and N8.25 per share respectively.
On the contrary, Ikeja Hotel topped losers chart in percentage terms, shedding 10 per cent to close at N2.16 per unit, NCR trailed with a loss of 9.80 per cent to N2.76 per share, Tantaliser fell by 8.00 to close at N0.23 per unit, International Energy Insurance down by 1.98 percent to close at N1.20 per share, Chi Plc declined by 6.56 per cent to N0.57 per share.
Volume of trades increased by 616.217 million, representing 133.44 per cent as investors traded 1.078 billion shares valued at N15.799 billion in 9916 deals against 461.783 million shares valued at N7.667 billion exchanged hands the previous day in 6520 deals.
Transactions in the shares of Access Corp led activity during the day, exchanging 199.620 million shares valued at N2.445 billion, FBN Holdings followed with a growth of 127.937 million shares valued at N1.748 billion, Transnational Corporation of Nigeria traded 95.681 million shares valued at N309.241 million, United Bank for Africa traded 81.994 million shares cost N831.473 million, GTCO Plc traded 76.382 million shares worth N2.180 billion.
