Nigeria’s equities market opened the new trading week on a slightly positive note, advancing by 0.07 percent on Monday, August 18, following last week’s profit-taking activities.
The modest rebound follows analysts’ expectations that banking stocks could resume upward momentum supported by proposed interim dividends, while insurance counters may experience more restrained gains due to profit-taking.
“A calm equity market is expected in August. Some banks have submitted dividend payment proposals to the Central Bank of Nigeria. Their stocks may appreciate once results are released. There may be profit-taking in the insurance stocks,” United Capital research analysts noted in their August outlook.
By the close of trading, the Nigerian Exchange Limited (NGX) All-Share Index (ASI) rose from 144,628.2 points to 144,722.47 points, while equities market capitalisation increased from N91.501 trillion to N91.561 trillion.
The market’s year-to-date return now stands at 40.61 percent, with a 3.47 percent gain so far in August.
Top gainers on the day included AIICO Insurance, which climbed 10 percent from N3.80 to N4.18; UPDC, which rose 10 percent to N7.15; Cornerstone Insurance, which appreciated 9.99 percent to N7.60; and Deap Capital, which gained 9.94 percent to N1.77.
Investors exchanged 1.146 billion shares worth N16.17 billion across 38,160 deals during Monday’s session.
Commenting on the outlook, Futureview analysts said: “Market sentiment remains cautious, with investors gradually positioning for long-term value plays, indicating only a mild recovery in the near term.”
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