Investors on the Nigerians capital market driven by renewed confidence staked the total sum of N8.9 billion in 1.34 billion shares of companies listed on the Nigerian Stock Exchange within a five day trading period which ended January 20th 2017.
This was as the NSE banking index , the most active sector of the market rewarded investors with 3.5 per cent (year to date) sine the new year rolled in, while the NSE Oil/Gas and the consumer goods sectors have slashed between 6-6.56 per cent from investors funds during the same period.
Meanwhile, market watchers say the high volume of turnover recorded during the just concluded week was attributable to the market’s anticipated bullish run which characterized every first quarter of the year, as many companies with December 31st end of year would be expected to turn in their results before the end of first quarter.
This expectation, coupled with renewed interest of investors in the Nigerian market as a result of assurances by the Nigerian Stock Exchange (NSE), of safeguarding investors from having a repeat of free fall experienced in 2016,cross section of analysts said, propelled the boost in turnover.
The market turnover which opened the week, January 16th on low key at 174,009,553 shares valued at N1.18 billion in 3,075 deals, continued to gather momentum as the week progressed and reached the peak on Wednesday with a turnover of 394,820,009 shares worth N1.38 billion transacted in 3,015 deals, having on Tuesday January 17th pulled a total of 371, 867, 54 shares, worth N1.71 billion which exchanged hands in 3,522 deals.
The market closed the week with a combined turnover of 399,656,36 shares worth N4.63 billion recorded on Thursday and Friday respectively. 196,469.52 equities valued N2.61 billion was transacted by investors on Thursday, while 203,186.54 shares worth N2.02 billion was transacted by Investors on the floor of the Exchange on Friday January20,2017.
The financial services sector maintained grip on market control with total volume transacted during the week accounting for 83 per cent of the total turnover recorded during the five days trading period of the week.
Turnover in the other sectors combined, which places second in the sectorial activity table, accounted for mere 8 per cent of the total transaction, while the conglomerates, third on the overall activity table recorded 6 per cent activity, followed by consumer goods sector with 3 per cent contribution to the activities on the exchange during the week.
Analysis of transactions during the week showed that an average of 103.6 companies stocks was traded on daily basis during the week, out of these stocks average of 18.6 advanced in price on daily basis, average of 17.8 stocks recorded decline on daily basis while average of 76.2 stocks maintained unchanged equity prices on daily basis.
Meanwhile, the financial services sector extended it vibrancy in turnover to returns on investments, as it ranked as the sector with highest returns on investments since the year began with the banking index rewarding investors with 3.5 per cent, while the INSE Insurance index also recorded 0.49 per cent.