Nov 22 (Lagos) - Stocks are in a see-saw battle so far today going from negative to positive and then back to negative at the time of writing this article. Stocks in heavy demand today are the big banks
GTCO ,
ZENITHBANK and
STANBIC while
MTNN remained the most traded stock at the time of writing this article. Consumer goods giant
NESTLE also showed resilience in the face of its recent quarterly result that showed a loss.
Something that could be leading to this see-saw battle could be the Nigerian Treasury bills Primary market auction, the last one of the year. Some investors are looking for yields north of 21% on the annual bill. The reasoning is that the Central Bank is bound to increase its key benchmark lending rate to contain runway inflation in the Country.
CBN could have an ace up its sleeve, an emergency event, something that could be so shocking to investors that it could cause a short term heartburn and uproar. Even mentioning it could cause anxiety to the elite. But it could also solve the problems the Nigerian economy is facing which are so large that such an emergency move could almost make sense. We briefly mentioned it and will go over it again after more thoughts if it is actually possible.
reporting for easykobo.com on Wednesday, Nov 22 2023 from Lagos, Nigeria