Adewale Sanyaolu with agency reports
The Nigerian Stock Exchange (NSE) on Thursday, posted some positive trends on the back of last Wednesday’s post-election tribunal ruling.
Specifically, the market capitalisation rose by N142 billion to close at N13.351 trillion against N13.209 trillion recorded the previous session.
This pushed the All Share Index higher by 273.11 points or 1.01 per cent to close at 27,426.64 compared with 27,153.53 achieved on Wednesday.
President Muhammadu Buhari’s victory in the 2019 presidential election was upheld by the tribunal after it dismissed the petition filed by Alhaji Atiku Abubakar at a ruling on Wednesday.
The market trends were impacted by gains recorded in medium and large capitalised stocks, among which are; Nestle Nigeria, Forte Oil, Dangote Sugar Refinery, Guaranty Trust Bank and Lafarge Africa.
Analysts at Afrinvest Ltd said that “yesterday’s trading session, increased buying interest across board pushing the market in positive direction.
“However, we expect profit-taking activities to drag market performance at the close of the week.”
Market breadth closed positive as 22 stocks recorded gains, relative to seven losers.
Meanwhile, Nigeria and Iraq have pledged to reduce oil output in compliance with the Organisation of Petroleum Exporting Countries (0PEC) output targets.
A statement from OPEC disclosed that Nigeria’s Minister of State for Petroleum Resources, Mr. Timipreye Sylva and his Iraqi counterpart made the pledge at an energy conference in Abu Dhabi, United Arab Emirate.
OPEC said it pumped 29.74 million barrels per day in August, up 136,000 bpd on July, according to an average of the six secondary sources used by the organisation to track member output. Crude oil output increased mostly in Saudi Arabia, Nigeria, Iraq and the UAE, while it declined mainly in Venezuela, Iran, Libya, Kuwait and Algeria.
Nigeria’s oil production rose to 1.91 million barrels per day in August from 1.83 million bpd, based on direct communication. This came as OPEC, Russia and nine other allies in July agreed to extend their collective 1.2 million bpd supply cut agreement through the first quarter of 2020.
The cartel said it was important for all countries to reach full conformity with cuts, adding that, OECD oil stocks remained above the 5-year average. The statement added further, that market monitoring will continue ahead of the next OPEC meeting in December.