Despite Global Volatility, Nigeria’s Stock Market Appreciated by N4.15trn in Nine Months – THISDAYLIVE

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Despite Global Volatility, Nigeria’s Stock Market Appreciated by N4.15trn in Nine Months •Investors move to take advantage of high yields in fixed income securities Kayode Tokede The stock market of the Nigerian Exchange Limited (NGX)

The stock market of the Nigerian Exchange Limited maintained its positive momentum in the first nine months of 2022, gaining N4.15 trillion to outshine global markets that have witnessed severe volatility.

For the global stock markets, the NASDAQ Composite Index has depreciated by -20.95 per cent YtD, while the United Kingdom FTSE 100 – London Stock Exchange – has depreciated by -6.44 YtD performance. Investors in the stock market reacted to Central Bank of Nigeria’s hike in MPR, leading to the aggressive movement of investors to the fixed income market that comes with low-risk investment and modest yield.

Speaking with THISDAY, the CEO Wyoming Capital and Partners, Tajudeen Olayinka attributed the decline in market performance in September to prolonged repricing of securities across markets and instruments by investors. According to him, “investors prefer to keep funds in dollars due to the persistent exchange rate depreciation.”

 

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