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How medium, large stocks sustain market bullish run




The Nigerian capital market maintained its rally for the straight three days on Tuesday on the back of gains made by medium and large stocks.

The All Share Index climbed 0.42 per cent to berth at 44,493.79 points as the Market Capitalization gained N67.15 billion to close at N15.95 trillion.

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Guinness Nigeria led other 34 gainers, adding N3 to close the day’s trading at N113 and

It was closely followed by Beta Glass (N62.35) and Dangote Cement (N270), which gained N2.95 and N2 respectively. Other top gainers were Stanbic IBTC (N46) and Presco (N71), which were both up by N1.

Mrs Kemi Adeosun, Minister for Finance on Tuesday in Abuja told  the Senate committee investigating the suspension of Mounir Gwarzo, Director-General, Securities and Exchange Commission (SEC) that the Nigerian bourse was the best besting market in the world in 2018, having recorded 16.34 per cent year-to-date returns. The NSE finished as the 11th best performed exchange globally in 2017, appreciating 42 percent.

The Nigerian Stock Exchange’s amended Par Value and Pricing Methodology rules, which became operational on Monday also helped, increased liquidity in the market.

David Adorin, Managing Director, Highcap Securities Ltd, explained that lowering of par value from N0.50 to as low as N0.10 would allow stocks that have been quiescent to be attractive to investors, thereby increasing market liquidity. He added that the amended rules which specify the revised price limit, price movements and tick sizes and also classify equity securities into different price groups would enhance transparency in the market.

Nestle topped other  23 stocks that lost on Tuesday, shedding -N30.00 to close at N1470.00.  Seplat (N685.00), CCNN (N17.60) and Unilever (N44.20) also lost –N7.60, -N0.40 and –N0.30 respective.

Transcorp (160.99million), Diamond Bank (99.86 million) and Skye Bank (93.62 million) largely responsible for the 876.97 million volume that was traded in 8,780 deals, valued at  N7.43 billion.

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