It was a record breaking week in the market, with the All Share Index posting the largest singular gain of 3.18%, since June 15, 2016, setting a 9-month-high at 28,423.70 points.
Experts attribute the record gain to demand for blue chip stocks across board, most notably, the banking and consumer goods names. On the back of continued strong demand, the All Share Index (closed 7.46% higher last week) has advanced in the last 10 trading sessions, extending gains to the third straight week closing at 28,192.46 points.
The experts say, judging by market activity in the past three weeks, and more specifically, the spike in the number of deals and volume traded this week, they sensed improved investors - both local and foreign - appetite for risk assets on domestic bourse, following the (1) reduced apprehension in the macroeconomic environment, (2) impressive 2016FY and Q1-2017 performance of highly capitalised names, and (3) increased confidence about the stability and liquidity of the FX.
The All Share Index gained in four out of the five trading sessions, recording its largest gain on Thursday (3.18%), before declining modestly by 0.81% on Friday, compared to penultimate week.
All indices closed higher, with the Consumer Goods (+13.36% w/w) index recording the largest gain, bolstered by demand for NESTLE (+12.08% w/w), NB (+17.05% w/w), PZ (+20.40% w/w), and CADBURY (+14.52% w/w). Likewise, the Banking (+11.18% w/w) and Oil & Gas (+2.74% w/w) indices extended gains from last week, as investors demanded the shares of ZENITHBANK (+12.05% w/w), GUARANTY (+12.36% w/w), STANBIC (+6.12% w/w), TOTAL (+5.45% w/w), FO (+15.73% w/w), and OANDO (+20.22% w/w) respectively.
The Industrial Goods (+0.46% w/w) and Insurance (+2.93% w/w) indices staged a comeback, buoyed by price appreciations in DANGCEM (+3.33% w/w), BETAGLAS (+4.98% w/w), CCNN (+8.91% w/w), MANSARD (+10.81% w/w), CUSTODYINS (+8.25% w/w), and CONTINSURE (+2.56% w/w).