Research analysts predict the purchasing enthusiasm from last week will continue despite investors losing against Airtel Africa.
Analysts expect the conclusion of the CBN’s Monetary Policy Committee (MPC) meeting today and tomorrow to guide investors.
Airtel Africa Plc’s profit taking (-6.0%) caused a slight decline of 0.1% in the stocks index. The benchmark All Share Index (ASI) dropped to 52,187.17 points, and the market value decreased to N28.417 trillion.
Despite the All Share Index’s underwhelming performance, sectoral performance analysis remains encouraging.
Other sectors increased, except the oil and gas sector, which saw the poorest performance, losing 1.67%due to dividend reductions and Seplat Energy pricing changes.
The banking and consumer goods sectors increased by 2.88 percent and 1.86 percent, respectively, while the insurance industry had the most significant rise of 5.20% as investors increased their interest in the sector.
The market for industrial products, however, finished unchanged.
As trade activity decreased, the activity level turned negative. As a result, 3.03 billion units were exchanged, a 15.90% fall from the previous day, and the traded value fell to N17.54 billion by 42.49 percent.
Analysts at Cowry Asset Management predicted the following for the upcoming week, “Going into the new week, we anticipate the current trend of buying interests in value stocks and profit taking to continue as dividends payments by companies support the liquidity levels in the market as core investors continue their portfolio rebalancing ahead of markdown dates, MPC meeting and Q1 GDP report expectations. Looking ahead, we believe investors will focus on the outcome of the MPC meeting schedule to gain further clarity on the movement of yields in the fixed-income market. As a result, we expect cautious trading from domestic investors in the short term”.