NSE Index Rises 0.76% as Trading Resumes on Positive Note


Trading at the stock market resumed on a positive note yesterday after the two days holiday declared by the federal government to mark the celebration of Christmas. The Nigerian Stock Exchange (NSE) All-Share Index rose by 0.76 per cent to close higher at 26, 688.25, just as the market capitalisation of equities appreciated by same margin to be at N9.11 trillion.

The market has remained bearish for most part of the year and is heading for a third consecutive yearly decline. However, the 0.76 per cent recorded yesterday has reduced the year-to-date decline to 6.82 per cent.

The appreciation recorded in the share prices of Union Bank, Transcorp, Access Bank, Stanbic IBTC and Nigerian Breweries were mainly responsible for the gain recorded in the NSE ASI yesterday.
Investors staked N1.25 billion on 131.74 million shares, down by 12.92 per cent from N1.43 billion invested the previous trading day.

The three most actively traded stocks were: International Breweries (16.2 million shares), Transcorp (12.42 million shares) and FCMB Group (11.65 million shares), while the most traded sectors were: Financial Services (78.42 million shares), Consumer Goods (19.29 million shares) and Conglomerates (12.92 million shares).

In terms of sectoral performance, all sector indices closed in the green except the NSE Industrial Goods Index which declined by 0.02 per cent owing to price drop by Lafarge Africa Plc.
However, the NSE Consumer Goods Index (+1.5 per cent) led sector gainers, driven by the significant appreciation in Nigerian Breweries Plc (+3.3%), Cadbury Nigeria (+8.0 per cent) and Honeywell Flour Mills Plc (+4.9 per cent).

Nigerian Breweries Plc recently got commendation from the Chief Executive Officer of the NSE, Mr. Oscar Onyema its commitment to corporate governance standards. The NSE boss also congratulated the company on its 70th anniversary and for winning the Most Compliant Listed Company award for the year.
He disclosed that Nigerian Breweries was qualified to join the exchange’s Premium Board, the listing segment for the elite group of issuers that meet the exchange’s most stringent corporate governance and listing standards.

Chairman of Nigerian Breweries Plc, Chief Kola Jamodu had explained that Nigerian Breweries had grown from its humble beginnings as a company that started 70 years ago with one brewery to 11 breweries spread across the country. He disclosed that the company has over 4000 workers in its direct employment and is also one of the highest dividend paying entities with 120,000 shareholders.