The Market Capitalisation of listed equities on the Nigerian Exchange Limited (NGX), on Tuesday grew by 5.23 per cent, representing a record-breaking N1.51 trillion in a single trading session since the year began.
The growth pushed the market capitalisation to N30.35 trillion as investors exchanged 1.08 billion shares valued at N15.8bn in 9,916 deals, a 133.4 per cent rise from the previous trading day’s 461.78 million shares worth N7.68bn in 6,520 deals.
In specific terms, the All-Share Index surged by 5.32 per cent at the end of trading following the removal of subsidy by the newly inaugurated President of Nigeria, Bola Ahmed Tinubu.
The bullish trade on Tuesday was driven by investor confidence following President Bola Ahmed Tinubu’s announcement of his pro-market policies, evidenced in its proclamation of his commitment to jump-start the economy through measures such as the removal of fuel subsidies and the unification of exchange rates.
Stock market gains N1.51trn after Tinubu’s inauguration
Stock market gains N1.51trn after Tinubu’s inauguration
Accordingly, the Month-to-Date and Year-to-Date gains advanced to +6.4 per cent and +8.8 per cent, respectively.
Investors displayed strong demand for banking, consumer goods and industrial stocks, anticipating the potential benefits of unified exchange rates, which would alleviate forex and liquidity pressures on their operations.
Big lenders such as Zenith Bank, United Bank for Africa, Access Holdings and Guaranty Trust Bank Holding Company were at the forefront of the upward trend among banking stocks as they appreciated by 10.0 per cent, 9.68 per cent, 8.33 per cent and 6.91 per cent, respectively.
Energy stocks such as Eterna Oil, Conoil, Total Energies and Oando traded higher having appreciated in share value by 10.0 per cent, 9.91 per cent, 9.24 per cent and 5.36 per cent, respectively.
Also, consumer staples, brewery and cement majors’ shares, such as Nigerian Breweries, Nestle Nigeria, Dangote Cement, Lafarge Africa, BUA Foods and BUA Cement recorded appreciations by 100 per cent, 8.89 per cent, 7.41 per cent, 6.52 per cent, 5.13 per cent and 4.55 per cent, respectively.
Telco giant, MTN Nigeria Communication, as well as oil palm producers, Okomu Oil Price and Presco also enjoyed investors’ patronage having appreciated in share value by 7.53 per cent, 9.62 per cent and 4.63 per cent, respectively.
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