NGX-ASI crosses 121,000 points as week opens

Nigeria’s equities market opened the new week in green, rising by 0.25percent at the close of trading on Monday July 7. The market’s positive start to new week pushed the benchmark performance indicator above 121,000 points. The market is up this year by 17.85 percent.

“Looking ahead, the market is likely to trade within a narrow range and be slightly positive as investors position ahead of the half-year earnings season. While intermittent profit-taking may limit further gains, improved foreign investor participation, resilient corporate earnings expectations, and sustained rotation into consumer goods and banking stocks could continue to support overall market strength in the near term,” Lagos-based Coronation research analysts said in their July 7 note to investors.

Universal Insurance, FCMB, Group, Japaul Gold, Access Holdings and AIICO were actively traded stocks.

The Nigerian Exchange Limited (NGX) All-Share Index (ASI) and equities Market Capitalisation increased from preceding day’s close of 120,990.27 points and N76.339 trillion to 121,295.33 points and N76.532 trillion. Cadbury rallied most, from N48.50 to N53.35, adding N4.85 or 10 percent, while Ellah Lakes increased from N8.10 to N8.91, up by 81kobo or 10percent. Red Star also moved from N8.37 to N9.20, up by 83kobo or 9.92 percent. Tripple Gee also advanced remarkably from N2.70 to N2.97, adding 27kobo or 10 percent.

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“We expect the local bourse to continue its upward trajectory this week, buoyed by continued interest in fundamentally sound tickers as investors position ahead of H1:2025 earnings releases. In addition, attractive entry prices and ongoing portfolio rebalancing are expected to contribute to this positive momentum,” said Meristem research analysts.

“Also, the corporate action of GTCO’s listing on the London Stock Exchange is expected to further boost investors’ confidence towards banking tickers,” they added.

“While we acknowledge the chance of occasional profit-taking, particularly in consumer goods stocks that have seen significant price increases recently, we believe this will be offset by continued interest in undervalued stocks that possess strong fundamentals and growth potential. Overall, we expect the equities market to end the week in the green zone,” Meristem research analysts said.