Day after inauguration, stock market hits N1.51trn

Following President Bola Tinubu’s inauguration, investors’ confidence helped the Nigerian Exchange’s equity market start trading for the week on a positive note.

In his inaugural address on Monday, Tinubu noted that the previous administration had failed to include fuel subsidies in the 2023 budget and that, as part of his plans to strengthen the Nigerian economy, he would ensure a single exchange rate.

To be more precise, the market capitalization increased by N1.505 trillion (5.22%), or N30.349 trillion, from the N28.844 trillion posted on Friday.

Additionally, the All-Share Index increased by 2,764.47 points, or 5.22 percent, to finish at 55,738.35, up from the 52,973.88 points registered in the previous trading.

As a result, the Year-to-Date gain slowed to 8.76%.

The market’s strong performance was driven by index heavyweights MTN Nigeria, Dangote Cement, and BUA Cement, as well as gains in Tier-one banking stocks like Guaranty Trust Holding Company, Access Holdings, United Bank for Africa, and Zenith Bank.

The most actively traded company was Access Holdings, which had 199.62 million Transcorp shares valued at N2.45 billion.

Zenith Bank traded 66.13 million shares worth N1.92 billion, followed by GTCO with 76.38 million shares worth N2.18 billion.

Transcorp traded 95.68 million shares worth N309.24 million, while UBA traded 81.99 million shares worth N831.47 million.

The market reacted favourably to President Tinubu’s inauguration speech and his suggested plans for the nation’s economy, according to analysts at Vetiva Securities Ltd.

Investors reacted favourably to the most recent transfer of power to the new administration, and it is anticipated that this positive sentiment will continue in the upcoming session.

With 54 advancing stocks outnumbering four declining ones, market breadth closed positive at.

The largest price increase, 10%, was recorded by Zenith Bank, which closed at N29.70 per share.

Following with 10% gains each, Transcorp Hotels and Nigeria Breweries closed at N8.25 and N42.35 per share, respectively.

First City Monument Bank and Jaiz Bank both increased by 10% to close at N1.10 and N4.62 per share, respectively.

Ikeja Hotel, on the other hand, led the losers’ chart with a 10% loss to close at N2.16, per share.

Tantalizer fell by 8% to close at 23k per share, and NCR followed with a 9.88% decline to close at N2.76.

Following Julius Barger, which saw a decline of 7.94% to close at N29, and International Energy Insurance, which saw a decline of 6.98% to close at N1.20 per share.

According to an analysis of today’s market activity, trade turnover settled higher than it had the previous session, with the value of transactions rising by 106.07%.

In total, 9,916 transactions involved 1.08 billion shares worth N15.80 billion. NAN