today-is-a-good-day
4.3 C
New York
Friday, March 29, 2024
HomeCapital MarketExperts predict boom on stocks

Experts predict boom on stocks

As investors return to the floor of the Nigerian Stock Exchange (NSE) for trading today after the Christmas break, there is hope for positive rally.

According to experts, the remaining three trading days in 2016, from today through Friday December 30, the equity market will most likely report positive result.

The expectations, however, came on the strength of the fact that institutions investors would be realigning their portfolios within the stated period.

According to Chris Anyanwu of GTI Securities Limited, realignment of portfolios by these investors would result in low prices and bargaining.

“A lot of people would be using the opportunity of the low prices now to readjust their portfolios in anticipation for the first quarter corporate action that will be coming up,” he explained.

Also speaking with Daily Trust, Mr. Tunde, a capital market analyst, explained that, at such time of the year, there is hope for the market to grow despite the much loss the equities market had incurred.

Advertisements

He said: “Market is expected to rebound in these last three sessions of the year because most companies would not want to close their stock prices on the red territory.”

The expected rally and positive sentiment notwithstanding, there is general impression that any profit recouped in the remaining sessions will not bring respite to the loss already incurred by stocks in 2016.

Specifically, as at the last trading session, Friday December 23, the market capitalisation, which opened the year at N9.851 trillion has plummeted by 7.49 per cent to close at N9.113 trillion.

 

Advertisements

RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

- Advertisment -

Most Popular

Recent Comments

Onuegbu Chuks Theophilus on Mikel Obi quits Super Eagles
Thomas H. Anderson on Roman Goddess_3
Oladimeji Emmanuel on Obama sends investors to Buhari