The Nigerian Exchange Limited closed the first half of 2023 in the positive territory as investors raked in N5.23 trillion.
The gains at 18.9 percent Year-to-Date, YtD, was the highest in 15 years.
In addition to the new regime sentiment, the market was also buoyed by the return of foreign investors, improved corporate earnings, low yield in fixed income market, among others.
However, analysts have cautioned the new administration to stick with the position of the Debt Management Office, DMO, not to go for external borrowing which could undermine the country’s economic growth projections and put Nigerians on further hardship.
Specifically, the stock market capitalisation which represents total value of investments on the Nigerian Exchange Limited, NGX, YtD appreciated by N5.282 trillion to close at N33.197 trillion last weekend from N27.915 trillion it closed in December 2022.
Details of market performance Year-on-Year, YoY, showed that as the market capitalisation in HI’23 rose 18.9 percent to N33.197 trillion another major performance indicator, the NGX All-Share Index (ASI), which tracks the general market price movement of all listed companies on the Exchange rose by 17.7 percent or 9,150.68 basis points to close at 60, 969.27 basis points last weekend.
The monthly breakdown shows the stock market in January 2023 gained 3.9% or N1.083 trillion; February it rose by 4.8 % or N1.402 trillion. In March it dropped by 2.8% or N856 billion while in April it dropped further by 3.4% or N1.01 trillion.
In May it rose by 6.4% or N1.832 trillion and in June 2023 it rose further by N2.831 trillion or 9.3% being the highest gain on monthly basis this year.
Available current data of portfolio investment showed that as at 31 May 2023, total transactions at the nation’s bourse increased by 68.88% to N322.92billion (about $693.99million from N191.21billion (about $413.25million) in April 5, 2023.
