NGX rebounds as Airtel Africa powers N652.8 billion gain despite broad-based selling

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Nigeria's equities market staged a modest recovery on Tuesday, June 30. Renewed buying interest in Airtel Africa and other fundamentally strong stocks lifted the benchmark index despite continued weakness in overall market breadth.

The NGX All-Share Index gained 0.45% to close at 229,419.18 points. That is up from 228,401.92 points recorded in the previous trading session. Investors gained approximately N652.77 billion as market capitalisation rose to N147.22 trillion from N146.56 trillion on Monday.

The rebound followed Monday's N2.35 trillion market rout. It helped moderate the sharp correction that has dominated trading since late May.

However, selling pressure remained widespread. Declining stocks continued to outnumber advancing counters across the market. The year-to-date return improved to 47.43%, recovering part of the losses recorded during the recent market pullback.

What the data is saying

Buying interest returned to several large and mid-cap stocks even as profit-taking persisted across many sectors of the market.

Highlights of Tuesday's trading include:

All-Share Index: 229,419.18 points, up 0.45%.
Market Capitalisation: N147.22 trillion, up approximately N652.77 billion.
Volume Traded: 966.66 million shares, down about 8.4%.
Value Traded: N39.99 billion, down about 10.4%.
Deals: 49,579 transactions.
Year-to-Date Return: 47.43%.
Market Breadth: 19 gainers against 32 losers.

Top 5 gainers: Prestige Assurance up 10% to N1.54, CVFC up 10% to N4.18, Airtel Africa up 10% to N4,794.60, Cutix up 9.70% to N2.94, Regal Insurance up 9.09% to N0.84.

Top 5 Losers: Custodian Investment down 9.98% to N65.85, R.T. Briscoe down 9.95% to N9.95, PZ Cussons Nigeria down 9.95% to N85.50, UPDC down 9.86% to N3.20, Honeywell Flour Mills down 9.78% to N14.30.

Several other counters also closed lower as broad selling pressure persisted.

More insights

Airtel Africa delivered the biggest boost to the market during the session. The telecom giant appreciated by the maximum daily limit of 10%. Its strong performance helped offset declines across several banking, insurance and consumer goods stocks.

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