Nigerian stocks climb further but partial profit-taking dampens gains

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Much as there is great expectation of more corporate reports, investors are paying attention to the ongoing meeting of the central bank’s monetary policy committee.

Nigerian stocks rose 0.47 per cent on Monday, further stretching a string of gains that commenced last Thursday, but with profit-taking in the shares ofThe uptrend derived support principally from a jump in the valuation of UACN, Ardova, Airtel and Access Bank on a day the issuing of a couple of impressive earnings reports did little to transform trade.

Much as there is great expectation of more corporate reports, investors will be paying attention to the ongoing meeting of the central bank’s monetary policy committee due on Tuesday. The panel will likely avoid taking extreme positions of cutting rate or raising it and go the way of retention to allow Africa’s largest economy slow down inflationary pressure steadily at the same time allowing growth to be gradual.

A rate cut often frees up investors cash into the stock market, aiding rise in share price, while an upward review usually depresses share value.The all-share index expanded 181.18 basis points to 38,849.08, and market capitalisation to N20.241 trillion.Oando led the gainers, appreciating by 9.82 per cent to close at N4.36. FTN Cocoa went up by 9.76 per cent to N0.45. Ardova rose to N17.45, notching up 9.75 per cent in the process.

 

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