Investors gain N3bn as stock market shakes off economic contraction

The nation’s bourse opened trading for the week on Monday on a positive note, growing by N3 billion despite a 6.1 percent contraction in the gross domestic product in the second quarter.

In a report released on Monday, the National Bureau of Statistics (NBS) said the contraction could be attributed to the suspension of economic activities to control the spread of the coronavirus.

Market capitalisation increased by N3 billion to close at N13.161 trillion against N13.158 trillion on Friday while the all-share index (ASI) increased by 7.25 points to close at 25,229.12 compared with 25,221.87 on Friday.

The upturn was impacted by gains recorded in large and medium capitalised stocks, amongst which are; Unilever, Guinness, PZ Cussons, International Breweries and University Press.

Market sentiment, as measured by the market breadth, was flat with 15 gainers as well as 15 losers.

University Press led the gainers’ chart in percentage terms, growing by 9.68 percent to close at N1.36 per share.

Unity Bank came second with 9.62 percent to close at 57k, while Regency Alliance Insurance rose by 9.09 percent to close at 24k per share.

Champion Breweries appreciated by 8.97 percent to close at 85k, while Cornerstone Insurance garnered 8.62 percent to close at 63k per share.

Conversely, Transcorp led the losers’ chart in percentage terms, dropping by 8.20 percent to close at 56k per share.

Royal Exchange followed with a loss of 7.69 percent to close at 24k, while Jaiz Bank declined by five percent to close at 57k per share.

NPF Microfinance Bank dipped 4.69 percent to close at N1.22, while Presco shed 3.92 percent to close at N49 per share.

Also, the total volume of shares traded increased by 58.36 percent with an exchange of 251.19 million shares worth N2.36 billion in 3,737 deals.

This was in contrast with a total of 158.62 million shares valued at N1.75 billion achieved in 3,194 deals on Friday.

Transactions in the shares of Transcorp topped the activity chart with 75.06 million shares worth N42.16 billion.

Zenith Bank followed with 45.46 million shares valued at N767.61million, while Guaranty Trust Bank traded 12.93 million shares worth N325.22 million.

FBN Holdings sold 12.02 million shares valued at N60.13 million, while Presco transacted 11.55 million shares worth N566.21 million.