As a result of gains recorded by Dangote Cement Plc, Guinness Nigeria Plc and 18 stocks, market capitalisation increased by N391 billion

As a result of gains recorded by Dangote Cement Plc, Guinness Nigeria Plc and 18 stocks, the Nigerian Exchange Limited (NGX) rebounded after three days of bearish trend Wednesday, as market capitalisation increased by N391 billion.

Precisely, the all-share index (ASI) grew by 724.76 absolute points, representing a rise of 1.47 per cent, to close at 50,075.47 points. Similarly, the overall market capitalisation value gained N391 billion to close at N27.01 trillion.

The market’s positive performance was driven by price appreciation in large and medium-capitalised stocks which are; Dangote Cement, Guinness Nigeria, NEM Insurance, Ellah Lakes and May & Baker Nigeria.

Analysts at GTI Securities Limited said: “The domestic market closes the day positive, as investors react to the profitability reports of listed companies. We expect mixed sentiments to continue, as more companies release their Q2 results.”

Vetiva Dealing and Brokerage said: “Besides the rebound in DANGCEM, the market also posted pockets of recoveries across the board, as all sectors closed in the green. We are likely to see mixed sectoral performance tomorrow amid continued cherry-picking activities.”

Market breadth, which is measured by market sentiment, was positive, as 20 stocks gained relative to 10 losers. Dangote Cement recorded the highest price gain of 9.96 per cent to close at N265.

NEM Insurance followed with a gain of 9.89 per cent to close at N4.11 kobo while Ellah Lakes rose by 9.41 per cent to close at N4.3 kobo.

Japaul Gold and Ventures went up by 8.82 per cent to close at 37 kobo, while May & Baker Nigeria appreciated by 8.68 per cent to close at N3.88 kobo. CHI added 8.62 per cent to close at 63 kobo.

Chams gained 7, 41 per cent to close at 29 kobo. Champion appreciated by 5.60 per cent to close at N3.96 kobo. African Prudential garnered 5.45 per cent to close at N5.80 kobo. International Breweries also added five per cent to close at N5.25 kobo.

On the other hand, Lafarge Africa led the losers’ chart by 8.84 per cent to close at N23.20 kobo. Nigerian Aviation Handling Company followed with a decline of 8.62 per cent to close at N5.30 kobo while Honeywell Flour Mills went down by 6.41 per cent to close at N2.63 kobo.

UAC of Nigeria (UACN) lost 5.36 per cent to close at N10.60 kobo, while AIICO Insurance shed 5.26 per cent to close at 54 kobo.

Also, the total volume traded rose by 98.58 per cent to 279.221 million units, valued at N2.082 billion, and exchanged in 3,576 deals.

Transactions in the shares of Jaiz Bank topped the activity chart with 115.128 million shares valued at N100.141 million. FBN Holdings (FBNH) followed with 39.956 million shares worth N431.498 million while United Bank for Africa (UBA) traded 14.661 million shares valued at N104.318 million.

AIICO Insurance traded 13.914 million shares valued at N7.675 million, while Japaul Gold and Ventures transacted 13.26 million shares worth N4.906 million.

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