Barring any unforeseen contingencies, the Nigerian Stock Exchange (NSE) is set to launch West-Africa’s first Exchange-traded derivatives.
This is sequel to the recent registration of NG Clearing by the Securities and Exchange Commission (SEC), as a premier Central counterparty Clearing House, earlier reported by Nairametrics.
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The platform established by paramount key players in the Nigerian Financial landscape such as the NSE, Central Securities Clearing System and top-ranked banks, will enable NG Clearing perform efficient and timely settlement of derivative trades, ensuring safety and stability of the financial system.
In lieu of this, capital market players expect NG Clearing to align with the highest standards of global best practices in delivering clearing and settlement services.
All things being equal, the introduction of ETDs on the NSE, will help strengthen Africa’s position in the global financial markets, addressing price, liquidity, and other financial risks usually associated to sophisticated financial transactions.
Speaking on the development, the CEO, NSE and Chairman, NG Clearing, Mr. Oscar N. Onyema OON, was quoted in one of the national dailies, where he started; “Our main role is to improve the safety of our financial markets, by delivering best-in-class post-trade services that manage counterparty credit risk, and reduce systemic risk. To mitigate these credit risks in an efficient and robust manner, we will interpose ourselves as a guarantor to both parties in a transaction; thus, ensuring the successful execution of derivatives and other trades from various trade points. We intend to deliver an unparalleled CCP experience for the African financial markets.”
NSE set to launch West Africa’s first Exchange Traded Derivatives https://t.co/ESUBaukcMH
— The Nigerian Stock Exchange (@nsenigeria) October 5, 2020
Bulls keep Nigerian Stocks fired up W/W amid #EndSARS
Twenty-eight (28) equities appreciated at price during the week, lower than thirty-five (35) equities in the previous week.
Nigerian bourse against all odds remained resilient last week, as it recorded impressive gains. The Nigerian All-Share Index and Market Capitalization both appreciated by 0.13% to close the week at 28,697.06 and N14.999 trillion respectively.
- A total turnover of 1.505 billion shares worth N19.668 billion in 20,552 deals was traded this week by investors on the floor of the Exchange, in contrast to a total of 1.955 billion shares valued at N22.978 billion that exchanged hands last week in 22,844 deals.
- The Financial Services industry (measured by volume) led the activity chart with 1.196 billion shares valued at N14.950 billion traded in 11,318 deals; thus contributing 79.47% and 76.01%to the total equity turnover volume and value respectively.
- The Conglomerates Industry followed with 97.167 million shares worth N269.045 million in 516 deals. The third place was the Consumer Goods, with a turnover of 77.588 million shares worth N1.928 billion in 3,461 deals.
- Trading in the top three equities namely Guaranty Trust Bank Plc, Access Bank Plc, and United Bank for Africa Plc (measured by volume) accounted for 633.527 million shares worth N10.006 billion in 3,887 deals, contributing 42.08% and 50.87% to the total equity turnover volume and value respectively.
- Twenty-eight (28) equities appreciated at price during the week, lower than thirty-five (35) equities in the previous week. Thirty-five (35) equities depreciated in price, higher than twenty-three (23) equities in the previous week, while ninety-nine (99) equities remained unchanged, lower than one hundred and four (104) recorded in the previous week.
- INTERNATIONAL BREWERIES PLC. up 18.20% to close N6.30
- CUTIX PLC. up 17.28% to close N1.90
- NASCON ALLIED INDUSTRIES PLC up 10.00% to close N14.30
- JAPAUL OIL & MARITIME SERVICES PLC up 10.00% to close N0.22
- IKEJA HOTEL PLC up 9.90% to close N1.11
- CONOIL PLC up 9.72% to close N15.80
- NEIMETH INTERNATIONAL PHARMACEUTICALS PLC up 6.49% to close N1.97
- LIVESTOCK FEEDS PLC. up 6.35% to close N0.67
- FIDSON HEALTHCARE PLC up 6.29% to close N3.72
- FLOUR MILLS NIG. PLC. up 6.24% to close N23.00
- N NIG. FLOUR MILLS PLC. down 9.89% to close N4.19
- LINKAGE ASSURANCE PLC down 9.09% to close N0.40
- ETERNA PLC. down 8.98% to close N4.46
- REGENCY ASSURANCE PLC down 8.33% to close N0.22
- ROYAL EXCHANGE PLC. down 8.00% to close N0.23
- MAY & BAKER NIGERIA PLC. down 7.69% to close N3.00
- LASACO ASSURANCE PLC. down 7.14% to close N0.26
- ACADEMY PRESS PLC. down 6.90% to close N0.27
- CADBURY NIGERIA PLC. down 6.83% to close N7.50
- HONEYWELL FLOUR MILL PLC down 6.19% to close N0.91
Nigerian Stocks remained resilient W/W amid EndSARS protest, falling oil prices W/W, and most importantly looting and destruction of properties carried out by hoodlums at Nigeria’s major economic hubs
- Sequel to the carnage recorded at Nigerian urban areas the first two trading days of the week ended flat, as investors remained on the sidelines, and mid-week sessions saw investors losing over N100 billion.
- However, the bulls strengthened their resolve and overturned previous losses recorded as many NSE30 Stocks exhibit good fundamentals and remained undervalued with respect to other Sub Sahara listed stocks, thereby leading to impressive gains across the market spectrum on Thursday and Friday’s trading sessions.
- That said, Investor sentiments as measured by market breadth remains impressive amid relatively thin market liquidity that has become the norm since the COVID-19 pandemic took a hit on Africa’s largest economy.
- Nairametrics, envisage cautious buying amid growing geopolitical uncertainty across Nigerian borders, which continue to put pressure on Nigeria’s major export earning product, crude oil..in spite of OPEC compliance effort in recent weeks.
GTBank, Dangote Cement keep Bulls roaring high
Market breadth closed positive as NASCON led 20 Gainers as against 6 Losers topped by NNFM at the end of today’s session.
Nigerian stock market ended its last trading session on an impressive note. The All Share Index gained 0.47% to close at 28,697.06 points as against +0.40% appreciation recorded on Thursday.
Nigerian Stock Exchange market capitalization now stands at N14.99 Trillion. Its Year-to-Date (YTD) returns currently stands at +6.91%.
- However, the Nigerian bourse trading turnover fell short of expectation as volume moved dipped by 9.11% as against -4.67% downtick recorded on Thursday. ACCESS, GUARANTY, and UBA were the most active to boost market turnover.
- AFRINSURE leads the list of active stocks that recorded an impressive volume spike at the end of today’s session.
- Market breadth closed positive as NASCON led 20 Gainers as against 6 Losers topped by NNFM at the end of today’s session – an improved performance when compared with the previous outlook.
- NASCON up 10.00% to close at N14.3
- PZ up 7.32% to close at N4.4
- ZENITHBANK up 1.69% to close at N21
- GUARANTY up 1.50% to close at N30.45
- DANGCEM up 0.67% to close at N151
- NNFM down 9.89% to close at N4.19
- NPFMCRFBK down 4.29% to close at N1.34
- HONYFLOUR down 4.21% to close at N0.91
- UNIONDAC down 3.70% to close at N0.26
- VITAFOAM down 3.23% to close at N6
Nigerian bourse continued its bullish run amid a shutdown of economic activities at Nigeria’s economic nerve center Lagos and Rivers amid ongoing curfew put in place in order to calm hostilities prevalent in some areas.
- Bulls seem to be rallying high amid soaring crude oil prices, and high buying pressure noticed in some Nigerian blue-chip stocks like Dangote Cement and GTBank.
- However, Nairametrics expects you to seek the advice of a certified stockbroker when choosing stocks to buy, as some of these stocks exhibit cyclic returns in principle.
#EndSARS Bull return to Nigerian Stock Market amid Looting
The market breadth index was positive with 20 gainers against 10 losers.
Nigerian bourse advanced today by 0.40%, to close at 28,563.87 points. The All Share Index was up by 0.40%, with the year-to-date return at +6.39% and market capitalization at N14.92 trillion. Investors gained N59.78 Billion.
- A total volume of 311.3 million units of shares, valued at N469billion exchanged hands in 3,375deals. GUARANTY was the most traded shares by volume and value at 77.8million units and N2.33billion.
- The market breadth index was positive with 20 gainers against 10 losers. UACN (+8.33%) led the gainer’s chart today, while GLAXOSMITH (-3.57%) topped the laggards.
- All sectors were bearish – Insurance, Oil & Gas, Consumer Goods, and Banking were lowered by 0.93%, 0.07%, 0.06%, and 0.03%, respectively save for the Industrial sector index which appreciated by +0.15%.
- UACN up 8.33% to close at 8.33%
- STANBIC up 2.33% to close at 2.33%
- DANGSUGAR up 2.22% to close at N13.8
- WAPCO up 2.02% to close at N17.65
- MTNN up 1.45% to close at 1.45%
- GLAXOSMITH down 3.57% to close at N5.4
- INTBREW down 2.95% to close at N6.25
- CAP down 1.07% to close at N18.5
- FBNH down 0.82% to close at N6.05
- ZENITHBANK down 0.72% to close at N20.65
Nigerian bourse against all odds recorded impressive gains. The gain was recorded amid, falling crude oil prices, and significant records of looting at a number of Nigerian urban areas triggered by the ongoing political unrest in Nigeria.
- Buying pressure from NSE30 stocks like MTN Nigeria, Stanbic IBTC Bank, Dangote Sugar, UACN lifted the All Share Index value upward.
Investors maid the prevailing macro are repositioning their portfolio for Q3 earning results amid a drop in market liquidity at Thursday’s trading session.
- Nairametrics, still envisage readers to be cautious about choosing stocks to buy, on reports coming from the Lagos Chamber of Commerce and Industry (LCCI) revealing Nigeria had lost more than N700 billion in economic value since the #EndSARS protests started a few weeks ago.