A financial expert, Ambrose Omordion, has predicted that activities in the nation’s bourse this week would be trailed with profit taking following fund managers window dressing.
Omordion, the Chief Operating Officer, InvestData Ltd., told newsmen in Lagos that the market will witness profit-taking after month-end dressing by fund managers.
He said that the market would experience mixed performance due to expected account rebalancing by fund managers, an action he noted may lead to profit-taking in preparation for August.
He said that the mixed performance will be short lived as investors expect improved half year earnings when yet to be released in the market. He attributed market growth last week to investors’ last minute positioning for earnings expectations, adding that most of the earnings released last week beat market and analyst expectations.
According to Omordion who called for quick implementation of the 2017 budget to sustain the market and economic growth, positive economic data released by the National Bureau of Statistics (NBS) contributed to the growth witnessed in the market thus far.
The Financial Services Industry led the activity chart with 1.74 billion shares worth N19.04 billion traded in 14,626 deals. The sector contributed 78.45 per cent and 62.16 per cent to the total equity turnover volume and value respectively during the review period.
The Conglomerates sector followed with a turnover of 165.39 million shares worth N454.24 million achieved in 1,400 deals. The third place was occupied by Consumer Goods Industry with a turnover of 135.80 million shares valued at N6.68 billion exchanged in 4,143 deals.
The NSE All-Share Index during the review period rose by 2,844.34 points or 8.36 per cent to close at 36,864,71 compared with 34,020.37 posted in the previous week due to massive gains.
Also, the market capitalisation which opened at N11.725 trillion appreciated by N980 billion or 8.36 per cent to close at N12.705 trillion.
A breakdown of the price movement table showed Conoil led the gainers’ table in percentage terms, gaining 21.41 per cent or N6.42 to close at N36.40 per share.
Presco followed with a gain of 20 per cent or N12.20 to close at N73.20, while Dangote Sugar Refinery increased by 19.34 per cent or N1.76 to close at N10.85 per share.
Conversely, Cadbury topped the losers’ chart for the week in percentage terms, dropping by 18.17 per cent or N2.32 to close at N10.45 per share.
Morrison Industries trailed with a loss of 17.58 per cent or 29k to close at N1.36 and Livestock Feeds declined by 13.33 per cent or 12k to close at 78k per share.