NGX crosses the 74,000-point mark, new all-time high
In a historic trading session, the NGX (Nigerian Exchange) surged past the 74,000 mark, with the All-Share Index experiencing a notable 1.21% increase, closing at 74,289.02 points on Thursday. This milestone was achieved just a day after the NGX surpassed the 73,000 mark, and the market capitalization of NGX exceeded N40 trillion (around $42 billion).
Equities witnessed a substantial gain of N488 billion during the day, propelling the market cap to N40.652 trillion. Notable performers included TRANSCORP, MULTIVERSE, and INFINITY, which continued their impressive streaks by gaining 10%, 9.96%, and 9.87%, respectively.
In terms of trading activity, the volume reached 760.93 million units, a significant increase from the previous day's 411.21 million units. The total value of trades amounted to N13.03 billion, reflecting an uptick from the previous day's N12.83 billion.
Investors are currently riding a wave of optimism as the Nigerian Exchange (NGX) experiences a notable surge to new highs, marking what financial platform Nairametrics identifies as a Santa Claus rally. In the course of this week, the NGX's all-share index has seen a remarkable appreciation of 1.39%, reaching a record high of 73,397.71 points as of December 20, 2023. This surge has translated into a significant gain of N551 billion in equities, pushing the market's capitalization above the N40 trillion mark for the first time. The term "Santa Claus rally" is employed to describe a seasonal phenomenon characterized by a surge in stock prices in the last weeks of December, extending into the early days of January. This trend is named after the festive season, with the idea that investors typically experience an upswing in stock markets during this period. Meanwhile, the NGX closed the week in the bearish territory as the ASI pared gains to close at 74,023.27 points today, down by 0.36%.