MARKET UPDATE FOR JANUARY 2, 2018
SUSTAINED VOLATILITY AS INVESTORS TAKE PROFIT, REPOSITION FOR EARNINGS SEASON The first trading session of 2018 was highly volatile, closing positive after opening with sharp gap down that lasted till midday, recording almost 549 basis points’ decline before it rallied back by the afternoon on the strength of price appreciation of some stocks, as traders and investors began taking position ahead of early filer reports likely to hit the market this month. This was especially the case for companies billed to file their third quarter earnings for March year end accounts, while December full-year accounts are underway, especially from Forte Oil, Nigerian Breweries, United Capital and Nestle, which results are expected to be in the market latest in February, given that their accounts do not require approval by a primary regulator like the banks and their insurance cousins. The January effects may not be much this year as market structure had changed with more foreign investors ...