Mixed Trends Ahead On NGX, Amid Portfolio Rebalancing, Profit Taking
Market Update for the Week Ended May 28 and Outlook for May 31- Jun 4 Over the past few weeks, the Nigerian equity market’s benchmark index NGX All-Share Index has been on the downtrend before consolidating in the week under review, resisting further decline on a low traded volume and mixed sentiments. This reflected low participation by institutional investors or players that are seemingly looking the way of the bond market due to recovery in yields in the fixed income space. This was obvious on the key performance index which had witnessed deep pullbacks in the month of May, creating opportunities for discerning investors before Friday’s rebound on buying interests in highly capitalized stocks that control 70% of the market. The oscillating trend, so far in the month of May, besides being the result of the rising yields, was due to analysts and investors expectation of economic data to support the Q1 corporate earnings. The pullbacks were becoming a source of concern for ...