Invest Data Consulting Ltd

MARKET UPDATE FOR AUGUST 23, 2017 Nigeria’s stock market continued its volatility on Wednesday but closed positive, as technicals remained mix. The day began with a big gap up and then a pullback to support, which could not pull through, before bouncing back up to break through the resistance level again at the 37,000 psychological line after more than triple test of this level in the previous trading days as the market searched for direction. The index tried to rebound in the afternoon and indeed achieved a new nominal-session high above resistance at 37,059.21. Market sentiment at the mid-week trading session was mixed as revealed by the volume traded index of 0.51. Buying position for the day stood at 68%,while selling volume was 32% of total transaction to maintain positive trend from previous day’s position as Access Bank released its half year earnings report with a 25 kobo interim dividend (just like last year) that met investing public expectation, as UBA, Stanbic...

MIXED TRADING WEEK, AMIDST HOPE FOR BUDGET 2017, PORTFOLIO REBALANCING Nigeria’s stock market moved lower during the past week as selling pressure increased on the heels of profit taking as many stocks were selling above their 52-week highs. At the same time, there are the effects of negative reactions of investors to none readmission of Nigeria into the Morgan Stanley Capital International (MSCI) Frontier Index’s in its June review. China was admitted into emerging market index, while  Nigeria and Argentina were put under consideration for a ”Standalone.” Nigeria's re-classification was postponed to November in the midst of the unstable global oil price and the danger of increased non-performing bank loans, where Etisalat, the country's fourth largest communication companies defaults in repaying its estimated N534.1bn US$ denominated loan from a consortium of Nigeria banks. Graciously, the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NC...

TIME FOR CAUTION, WITH FACTORS DRIVING NIGERIA’S BULL-RUN STILL INTACT The Nigeria stock market was down throughout the mid-week trading session as selling pressure hit the market on massive profit taking and reaction to the Morgan Stanley Capital International (MSCI) Frontier Index’s to put Nigeria under consideration for a ”Standalone” re-classification until November. This part of seeing whether the Central Bank of Nigeria (CBN) can sustain funding of its recently introduced import and export Fx window as it has repeatedly assured. This delay can also be seen from the angle of the fact that the unstable price of oil at the international market may hinder the apex bank’s continued intervention, given that the commodity is Nigeria’s major source of revenue, a situation that could negatively impact its external reserve and subsequently liquidity level in the foreign exchange market. So far, the Central Bank of Nigeria (CBN) has in the last five months demonstrated its com...

KEYING INTO VALUE STOCKS, AMIDST ANXIETY OVER OIL, UNSIGNED BUDGET 2017, INFLATION DATA, The bullish momentum in the nation's equity market over the past weeks continued last week, propelled byan even stronger demand for stocks, despite profit taking on Tuesday and mixed sentiment within the period, to close higher on a huge volume of trade that revealed increasing investor confidence. The different classes of stocks that topped the week's price performance log shows that banking and petroleum stocks are driving the bullish market, a situation that is robbing off on other sectors and particularly low priced stocks.  The ongoing recovery in the economy and improving macro-economic fundamentals that will support business expansion and growth are indications that this market rebound may last longer. This would however depend on whether managers of Nigeria's economy at this point are determined to do the needful, which as we have always said, will go a long way to ...

MARKET UPDATE FOR JUNE 13, 2017 Nigeria’s stock market indices had a negative session on Tuesday as the downside followed through on a continued profit taking and cautious trading ahead of Q2 earnings reporting season and inflation figure for the month of May. The day started out with a gap down which was resisted at the mid-day trading hour, rising slightly to close the day lower.  The negative sentiment revealed a volume index of 0.85 with buying position of 29%, while selling volume was 71% of the total volume traded for the day. This is also an indication that investor appetite for risk seems to have declined even as the Central Bank of Nigeria announced plans to raise N22 billion for the Federal Government in three months. This is a seeming crowding out of the private sector from the financial market as we have always said, especially with the Federal Government savings bond running on a monthly basis. All these help to increase domestic debt as the Government...