In the just concluded week, the domestic equities market closed in green amid sustained bargain hunting activity in line with our expectation. Hence, the main market index, NSE ASI, rose to 29,628.84 points having increased marginally by 0.03% w-o-w.
Thank you for reading this post, don't forget to subscribe!Specifically, investors showed interest in selected insurance, oil/gas and industrial stocks such as LAWUNION, SEPLAT and WAPCO, thus, lifting NSE Insurance, NSE Oil/Gas and NSE Industrial indices up by 3.05%, 2.54% and 5.10% to close
at 130.82 points, 254.45 points and 1,266.17 points respectively.
However, NSE Banking and NSE Consumer Goods moderated by 2.57% and 3.58% to close at 394.15 points and 558.05 points respectively.
Meanwhile, market activity dragged as total deals, total transaction volumes and Naira votes nosedived by 12.80%, 40.74% and 14.01% to 21,156 deals, 1.24 billion shares and N22.76 billion respectively.
In the new week, we expect the local bourse to close in green territory as lower fixed income yield environment
is sustained despite the increase in CRR to 27.50% by CBN to reduce Deposit Money Banks liquidity. Hence, investors are advised to continue to hunt for high dividend yielding stocks.