The Nigerian equities market gained N266.6 billion last week, thereby raising hope that the market will recover in the new year, after a decline in 2019.
In a similar vein, price appreciation of 39.5 per cent in Cornerstone Insurance Plc lifted the NSE Insurance Index by 4.6 per cent, while the NSE Banking Index rose 2.9 per cent on gains by Ecobank Transnational Incorporated Plc and United Bank for Africa Plc. The NSE Consumer Index and Industrial Goods Index added 0.8 per cent and 0.3 per cent in that order.
“Stripping out telecom behemoth MTN Nigeria Communications, which was listed in the second quarter of 2019 with a market capitalisation of N1.83 trillion, market return is north of 20 per cent. Our base case, as we enter 2020, posits muted stock market performance for the year,” they said. “ We expect faithful implementation of 2020 budget which was approved on record time. Government at all tiers should also take advantage of the market to mobilize fund for development projects. However, we expect the market to be driven by a mix of factors.