Aug 31 (Lagos) - The domestic market ended the last trading session of the month in the green, closing marginally up by 7bps to settle at 25,327.13 points. The positive close resulted from recoveries in Industrial goods stocks such as
WAPCO (+346bps),
DANGCEM (+52bps) and
BUACEMENT (+25bps), coupled with the significant upward movement in
MOBIL (+10.00%).
Similarly, activity level saw an upward movement, with total volume and value traded increasing significantly by 120.35% and 185.46% respectively, while trades in UACN,
ZENITHBANK and
NESTLE dominated market turnover. However, market breadth closed negative at 0.65x as 11 stocks closed north against 17 stocks which closed south. Furthermore, the Bulls controlled most of the trading sessions in the month, as the ASI advanced 2.57% MoM, while the YTD performance moderated to -5.64%.
What will shape the market tomorrow?
The Bulls continued to dominate the domestic market as most counters remained attractive and undervalued. We envisage another session of capital appreciation tomorrow, given the continual stability seen in some key global indicators such as Crude oil prices as well as the declining rate of the Covid-19 pandemic.
Stocks to Watch
On the Bid Cart:
MOBIL closed as the best performing stock for the day, gaining 10.00% to close at its maximum price of N 192.50. The counter which traded flat for most of the session, crossed to the positive territory after an aggressive buyer just before the pre-close session mopped up all available offers to the maximum price. Following today's gain, its YTD performance improved to +30.16%.
On the Offer Cart: The Banking sector could not sustain Friday's upward movement as profit taking action in
ACCESS (-313bps),
UBA (-157bps),
FBNH (-101bps) and
ZENITHBANK (-59bps) among others depressed the sector by 0.74% while reducing its MoM gain to +4.73%.
reporting for easykobo.com on Monday, August 31 2020 from Lagos, Nigeria
Source - analysts at Vetiva Capital Management Ltd.
All opinions, views and comments in above article are those of analysts at Vetiva Capital Management Ltd in Victoria Island, Lagos