NGX: Investors earned N350bn in August, analysts predict positive H2

Equities investors, in the month of August, accrued N350 billion as the nation’s equities market recorded improved performance.

Basically, the benchmark index of the Nigerian Exchange Limited (NGX) appreciated by 1.74 per cent to closed the month at 39,219.61 basis points on August 31, 2021, as against an opening of 38,547.08 basis points.

Consequently, investments appreciated by N350 billion as the market capitalisation of listed equities settled at N20.434 trillion at the end of August as against the month’s opening of N20.084 trillion.

The increase in the indices is largely attributed to the strong First Half 2021 corporate earnings and improving macro-economic indices shown in the second quarter GDP quarter-on-quarter growth of 5.01 per cent.

Last week, the market opened for four trading days as the Federal Government of Nigeria declared Friday 1st October 2021 a Public Holiday to mark the Nations 61st Independence Anniversary

Over the week, a total turnover of 2.187 billion shares worth N16.183 billion in 14,377 deals were traded by investors on the floor of the Exchange, in contrast to a total of 1.290 billion shares valued at N13.921 billion that exchanged hands in 16,745 deals in the preceding week.

The Financial Services Industry, measured by volume, led the activity chart with 778.434 million shares valued at N5.591 billion traded in 7,183 deals; thus contributing 35.60 per cent and 34.55 per cent to the total equity turnover volume and value respectively. The Services Industry followed with 775.712 million shares worth N2.909 billion in 416 deals. The third place was Consumer Goods Industry, with a turnover of 448.662 million shares worth N3.999 billion in 2,257 deals.

During the week under review, Transcorp Hotels Plc, Honeywell Flour Mill Plc and FBN Holdings Plc accounted for 1.494 billion shares worth N6.944 billion in 1,017 deals, contributing 68.33 per cent and 42.91 per cent to the total equity turnover volume and value respectively.

On the outlook of the market, Cowry Asset Management Limited in its report titled ‘Review, Outlook and Investment Strategies for H2 2021’, said against the anticipated growth in real output, expectations of increased corporate profits and an expected moderation in fixed income yields, the equities market is expected to climb northwards in H2 2021.

“Therefore, we expect investors to bargain hunt for undervalued stocks; particularly of those companies likely to sustained, and possibly increase, interim and/or final cash dividend payments,” Cowry Asset said.

However, analysts at Cordros Capital expect the bears to dominate market performance in the coming week, as investors cash out on the gains across bellwether stocks this week.

“However, we expect this to be tempered by bargain hunting activities from early birds ahead of the Q3-21 earnings season,” Cordros analyst said, thus advising investors to take positions in only fundamentally justified stocks as the weak macro environment remains a significant headwind for corporate earnings.

Cowry Asset, also advised active investors/ speculators to focus more on growth and high beta stocks while also looking to buy the dip while having enough speculative cash on hand for tactical maneuvers. “Again, investors should be wary of those factors that could create economic headwinds and adjust their portfolios appropriately,” it said in it’s report.

YOU SHOULD NOT MISS THESE HEADLINES FROM NIGERIAN TRIBUNE

Experts Say Mixture Of Snail Slime, Evaporated Milk Cannot Cure Stroke

CLAIM: A Facebook user claims water gotten from snails (snail slime) and peak milk can cure partial or full stroke.

VERDICT: The claim that water gotten from snails (snail slime) and peak milk can cure partial or full stroke is false.

FULL STORY: On July 26, 2020, a Facebook user, Prince Nnamdi Enyinnaya Emelelu Eluwa, in a post claimed that water gotten from snails (Snail slime) and peak milk can cure partial or full stroke. The post which is over a year old has recently been reshared by other Facebook users.

Marburg Virus: What You Need To Know About Disease Recently Detected In West Africa

On Monday, August 9, 2021, the World Health Organisation (WHO) confirmed the first case of Marburg virus in West Africa in Guinea. This development has sent shivers down the spines of West Africans who are still grappling with the effects of the coronavirus pandemic. But before this dreaded disease is greeted by rumours and misinformation, here is what you have to know about the virus.APC states to establish Health Emergency Trust Fund…

FACT CHECK: US Did Not Give Nigeria 48 Hours Ultimatum To Detain Abba Kyari

CLAIM: Several social media posts claim the United States of America (USA) gave Nigeria’s Federal Government 48 hours to detain suspended Deputy Police Commissioner, Abba Kyari, or face severe sanctions.

VERDICT: The claim is false and misleading. The US did not give Nigerian Federal Government 48 hours ultimatum to detain Abba Kyari.

FULL STORY: Tons of reactions have greeted the indictment of suspended Deputy Police Commissioner, Abba Kyari, by the United States District Court for the Central District of California.

The court indicted Kyari following his alleged involvement in the international scheme to defraud a Qatari school founder of over $1 million. The fraud scheme was masterminded by popular Instagram celebrity, Ramon Abbas, also known as Hushpuppi.

The Dangers In Mixing Toilet Cleaner With Bleach

Few weeks ago, Eniola Oyemolade, a journalist, decided to get creative while cleaning, by mixing a toilet cleaner and a bleach together. She did this with the thought that if one product works, mixing it with another would make it even better.

Unknowing to her, Mixing bleach with toilet cleaner creates a poisonous gas that can cause adverse health reactions, including death.

“After the mixture, I started feeling a burning sensation in my throat and I had to leave the room because the odour was really bad too,” she said.

You might also like
Comments

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. AcceptRead More