AMCON: Banking Stocks Drive Indices

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Banking stocks continued to drive volume at the Nigerian Stock Exchange, following the signing of the Asset Management Corporation Bill by President Goodluck Jonathan.

The banking index rose by 0.97 per cent or 3.59 basis points, from 369.18 basis points to 372.77 on Wednesday.

Activities in the banking sub-sector drove total volume, as it accounted for 69 per cent of total turnover. Trading in the shares of two rescued banks, Bank PHB Plc and Sterling Bank Plc, drove volume in the sub-sector.

Analyst who spoke to our correspondent on the floor of the NSE said that the increase in market indices was not unconnected with the signing of the AMCON on Monday by the President.

They added that investors had begun to take positions in the rescued banks in anticipation of any likely sustained capital appreciation.

The NSE’s All Share Index rose by 0.72 per cent or 179.14 points to close at 24,963.99, from 24,784.85 basis points recorded on Tuesday.

Similarly, the market capitalisation of the listed equities appreciated by 0.72 per cent or N44bn to close at N6.11tn, as against N6.06tn recorded the previous day.

The NSE-30 closed at 1,037.66 basis points, indicating a 0.60 per cent or 6.23 points rise, from 1,031.43 recorded the preceding day.

At the close of trading a total of 347.90 million shares, valued at N2.21bn were exchanged in 6,596 deals.

CAP Plc led 41 stocks on the gainers’ chart, rising by 4.8 per cent or N1.50 to close at N33.00 per share, while Cadbury Nigeria Plc also gained five per cent or N1.35 to close at N28.35 per share. Flour Mills Nigeria Plc followed with a 1.3 per cent or N1.00 rise to close at N76.00 per share.

Nigerian Bottling Company Plc recorded the highest loss, down by 4.3 per cent or N1.40 to close at N31.00 per share.

Lafarge Wapco Plc lost 1.1 per cent or 47 kobo to close at N40.53 per share, while Unilever Nigeria Plc fell by 1.4 per cent or 34 kobo to close at N23.66 per share.