Share trading at the Nigerian Exchange Limited (NGX) closed trading on Tuesday, June 27, 2023, in the green zone as the NGX All-Share Index appreciated by 1.3% to cross 60,000 points. hint. This is the highest number achieved by ASI in more than fifteen years. Investor sentiment remained positive as the market applauded some of President Bola Tinubu's economic decisions, particularly changes in Nigeria's foreign exchange system. The economic policies of President Bola Tinubu (whom Nairametrics dubs Tinubunomics) seem to be having a dramatic impact on the Nigerian economy and it is no wonder that the capital market, which is the barometer of the economy, is being affected. sounds good. According to statistics obtained by Nairametrics, the equity market closed on Tuesday with a turnover of 421 billion naira. The All-Share Index (ASI) - a barometer that measures the value of all shares in the Nigeria Stock Exchange (NGX), continued its winning streak as the index gained 1.30% to settle at 60,108.86 points, the highest in 'in ten years (exactly). March 5, 2008, when it was 66,381.20). Gains from MTNN (+2.77%), Zenith Bank (+4.62%), and GTCO (+5.20%) supported the strong performance of the broader market.
As a result, the year-to-date (YTD) yield reached 17.28%, while the market capitalization gained N421.19 billion to close at N32.73 trillion. Analysis of today's market activity showed that trading turnover decreased from the previous session, and trading profit decreased by 4.01%. A total of 763.70 million worth of Naira 12.53 billion was spent on 9,463 transactions. Access Holdings (+3.61%) traded 111.67 million naira while GTCO (+5.20%) traded 2.69 billion naira. The group's Chairman, Investment Banking, Cordros Capital, Mr. Femi Ademola, said the market seems to have suffered a lot from the CBN's policies in the past few years. According to him, what is happening regularly in the market and the flood of circles, and the political behavior of the apex bank caused a change in the market. He said that the recent implementation of the naira conversion policy had a negative impact on the market and provoked people against the CBN Governor. Nigerian stocks look on track to snap a four-year losing streak for the month of June. The price is currently at 7.78% in June and should end the month well after spending four years at the stoppage. The NGX All Share Index is up 17.28% since the beginning of the year.
Former President of the Chartered Institute of Brokers (CIS) and the Managing Director of Arthur Steven Asset Management Limited, Mr. Olatunde Amolegbe said the main driver was the beginning of the cleanup programme by the president at the CBN. He noted that market operators now expect that the reforms in the monetary and forex policy will lead to an inflow of foreign portfolio investment in the market. “This was the main driver of the market. The changes at the CBN should lead to changes in the monetary and forex policies which are expected to increase foreign participation in the market. Recall that the previous policies of the CBN had hitherto led to a sharp drop in participation by foreign portfolio investors from 65% in 2015 to less than 10% in 2022. The new reform will lead to an increase in appetite by this class of investors in our market,” he said.
