March 28: MUCH UNEXPECTED AT THE TWO NSEs

At the two African NSEs today March 28, much was unexpected.

NIGERIAN STOCK EXCHANGE:

At the Nigerian stock exchange the most unexpected development was that the Equity Trust Fund segment came alive especially price as 4 and a drop was recorded.

All of them too with rare one deal each although only the one in Lotus Half Equity was for any substantial volume (10,000 units). All others were for 5 units each.

Top gain was by Vetiva S&P devoted to sovereign bond as it closed 6.61% up followed by Vetiva Industrial, up 5.43%. The rest gained or lost less than 1% on opening price.

Equally unexpected was the offload in rarely traded Niger Insurance listed in the insurance sector of the main board.

A total of 724.3m shares were offloaded in Niger Insurance and taken up in only two deals thus contributing 79% of the day's 916.26m volume; most likely the highest for months.

No other equity came close because trailing it was Diamond bank's 100 deals for about 29.412m units followed by UBA's 19.851m shares sold in 4th placed 268 deals.

Despite the low interest in the chunky offer in Niger Insurance, number of deals closed 10.2% up at 3342 indicating high interest in the smaller portion the rest contributed to the day's volume.

Day high deals were recorded in GTB as 287 deals were recorded for 11.161m units followed by Zenith Bank as 282 deals were sealed for 12.576m units; and FBN Holdings in which 275 deals involved 17.693m units.

In all 9 equities recorded above 100 deals each and the list includes UBA(268); Access bank(165); Fidelity bank (113); Oando (103) and Diamond bank with 100.

The All index dropped marginally by 0.31% principally as premium index eased by 1.34% to 1604.91 and the Industrial index too dropped by 1.98% to 1514.44.

There were 22 gainers led by Seplat Petroleum as it gained N36.82 per share or 10.25% of opening price and Custodian and Allied which like International Breweries gained 5% each per share 

On the other hand there were 14 losers paced in % terms by Ecobank Transnational and Law Union & Rock Insurance up 5% each but in Naira terms by Total Nigeria down N12.9 per share or by 4.73%,

Four other equities lost above 4% including Livestock feeds 4.41%; Continental Re 4.39%; Sterling bank 4.05% and PZ Cussons 4.04%.

NAIROBI STOCK EXCHANGE

The main unexpected development at the Nairobi stock exchange was the very strong recovery in the bond market after yesterday's down swing.

In all 4087m Ksh deals were recorded in bonds compared to 997m Ksh previously.

Only Corporate bonds did not see any action but all others recorded values that were superlative compared to Monday close.

In fixed income with nominal value above 50m 2620m Ksh worth of deals were struck compared to a low of 319m previously.

Sell or buy back transactions also recovered beyond expectations as deals worth 1381m Ksh were sealed which was more than double Monday's 611.2m Ksh.

In the government fixed income with nominal value below 50m Ksh, the recovery was less outstanding but recovery all the same. The value of transactions here was 86m Ksh, still well ahead of Monday's 66.91m ksh.

At the equities market, deals; market capitalisation and indices increased. Volume dropped by 3.32% to 25.898m; value decreased by 6.09% to 491.486m Ksh.

On the other hand, deals increased by 27.9% to 1224 despite the volume drop indicating more scramble for units.

Safari Com continued to apply its shoulders to keeping volume fairly steady and, with deals for increased 14.747m units, it contributed 56.9% to the day's volume.

It was the only equity with above 10 units involved today; all others with the exception of NIC Bank recorded below deals for below 2m units.

NIC Bank led a cluster of all 11 banks with deals although only 3 involved above 1m units. In the case of NIC Bank deals were struck for 2.52m units while Equity Group Holdings recorded 1.355m shares; and Barclay's of Kenya (1.315m).

Trailing NIC Bank at 3rd place in volume was Britam Holdings in the insurance sector with deals for 1.655m shares.

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