Categories: Business

Volatility persists in stock market as investors await new policies

The Nigerian Exchange Limited (NGX) All-Share Index (ASI) maintained its volatility, closing the week with a modest 11 basis points (bps) gain, reaching 66,464.57 points on Friday, up from the previous week’s 66,362.14 points. Investors are eagerly anticipating policy statements from fiscal and monetary authorities as new ministers and central bank leadership prepare to unveil fresh economic plans and agendas to stimulate growth.

Many companies are reporting their second-quarter 2023 (Q2’23) financial results, while third-quarter 2023 (Q3’23) reports are expected to start coming in shortly. Analysts believe that Q3’23 earnings reports will be mixed due to ongoing fiscal reforms amidst macroeconomic challenges, including lingering foreign exchange issues, with the Naira surpassing the N1,000/US Dollar mark.

Given the cautious market environment, analysts emphasize the importance of prudent investment ahead of upcoming events and factors that will shape the market in the final quarter of the year.

Market analysis reveals that investors gained N179 billion, pushing market capitalization to N36.510 trillion from the previous week’s N36.331 trillion. Consequently, year-to-date growth reached 29.89%.

The weekly market breadth, indicating 40 advancing stocks compared to 36 declining ones, stood at 1.11x.

Investdata Consulting analysts expect a mixture of sentiment to continue, driven by bargain hunting and portfolio adjustments ahead of Q3 corporate earnings reports and the Central Bank of Nigeria’s monetary policy meeting. They believe that ongoing economic reforms and policy pronouncements will eventually provide investment direction.

Meanwhile, Comercio Partners analysts anticipate a calm start to the week.

Attah Mike

Attah Mike is in charge of Infotech at IDOMA VOICE. He is an AI enthusiast. A photoshop expert and trained photographer/videographer. He studied Computer Science at FPN

Recent Posts

Soaring rice prices threaten Christmas celebrations for Nigerian families

Rice, a staple for Christmas celebrations in Nigeria, has become a luxury this year. Soaring…

23 hours ago

Panic as Stage collapses during Odumodublvck’s performance at Lagos concert

Panic erupted on Saturday at a concert in Lagos when the stage collapsed during Odumodublvck’s…

23 hours ago

2025 Budget: FG allocates ₦6.36bn for renovation of Tinubu, Shettima’s official quarters

The Federal Government of Nigeria has allocated ₦6,364,181,224 billion for the refurbishment and rehabilitation of…

24 hours ago

Black Market Dollar to Naira Exchange Rate Today 22nd December 2024

The black market dollar to naira exchange rate for today, 22nd December 2024, can be…

24 hours ago

NNPC debunks shutdown rumors, confirms fuel loading at Port Harcourt Refinery

The Nigerian National Petroleum Company Limited (NNPCL) has refuted claims that the 60,000 barrels per…

24 hours ago

‘We have to find a way’ – Guardiola laments after defeat to Aston Villa

Manchester City finds itself in unprecedented turmoil, with relegation-level form showing little sign of improvement.…

1 day ago