Investors Consider Tinubu’s Policy Direction :
The Nigerian Exchange (NGX) Limited slightly increased by 0.06 percent on Wednesday as investors considered the president Bola Tinubu administration’s policy direction.
Due to the guarantee Mr. Tinubu provided investors with during his inaugural speech on Monday, the stock exchange saw an increase of 5.22 percent on Tuesday.
The former governor of Lagos State declared he would aim for a GDP growth of at least 6% and unify the exchange rate regimes at the ceremony to swear him in as Nigeria’s 16th president.
Additionally, he announced the end of the gasoline subsidy, which instantly caused a buying frenzy across the nation.
When the Nigerian National Petroleum Company (NNPC) Limited released a new pump pricing for its retail stations across the nation yesterday, many Nigerians felt the rippling effects of this decision. According to the energy company, fuel would now cost N488 per litre in Lagos, N500 per litre in other Southwest states, and N537 per litre in Abuja.
With 39 price losers and 30 price gainers, among other factors, equities investors were concerned, which had an effect on the market’s outcome.
According to Business Post, the financial services industry was down yesterday, with the banking sector down by 2.46 percent and the insurance counter losing 2.52 %.
Additionally, the industrial products index fell by 0.19 percent, while the consumer goods and energy sectors concluded with respective gains of 2.08 and 1.63 percent.
The All-Share Index (ASI) increased by 30.93 points to 55,769.28 points from 55,738.35 points during the midweek session, and the market capitalization increased by N17 billion to N30.367 trillion from N30.350 trillion.
Veritas Kapital, McNichols, and Jaiz Bank all saw session gains of 10% to close at 22 Kobo, 77 Kobo, and N1.21 each, while Conoil increased by 9.96% to N57.95 and MRS Oil increased by 9.93% to N44.85.
On the other hand, NASCON dropped 9.79% to N15.20, RT Briscoe down 9.76% to 37 Kobo, GSK dropped 9.58% to N7.55, Caverton dropped 9.35% to N1.26, and Deap Capital dropped 9.09% to 20 Kobo.
In contrast to the 1.1 billion shares worth N15.8 billion traded in 9,916 deals on Tuesday, traders transacted 661.5 million shares worth N19.0 billion worth of stocks on the market on Wednesday, representing a decline in trading volume of 38.65 percent, an increase in trading value and the number of deals by 20.25 percent and 1.09 percent respectively.
A total of N1.2 billion worth of shares were sold by Access Holdings, N891.6 million worth of shares were exchanged by UBA, N1.3 billion worth of shares were exchanged by GTCO, N1.3 billion worth of shares were exchanged by Zenith Bank, N1.3 billion worth of shares were exchanged by Zenith Bank, and N69.1 million worth of shares were sold by Sterling Bank.
