By Chioma Obinagwam
Equities listed on the Nigerian Exchange (NGX) will sustain its southward posture, Afrinvest Research said on Monday.
According to its stock recommendation report sighted by Confiance News, the financial advisory firm stated that the negative trend will continue in the current week due to dearth of positive triggers.
“This week, we expect a poor performance as weak sentiment lingers,” It disclosed.
Recall that Confiance News reported that the equities market will tilt sideways which was evident in the previous week’s performance where the NGX All-Share index declined by 0.1 percent to 43,199.27 points.
Reacting to the posture of equities in the week under review, leading financial services group, Cordros Research, anticipates a mixture of negative and positive trend spurred by lacklustre behaviour of investors.
“We expect a mixed market performance as the bulls and bears are likely to be in a gridlock due to the opposing forces of bargain-hunting activities in stocks with attractive dividend yields ahead of 2021FY dividend declarations and intermittent profit taking activities. Notwithstanding, we advise investors to take positions in only fundamentally justified stocks as the unimpressive macro story remains a significant headwind for corporate earnings,” It disclosed.
Although equities closed on a positive territory on Monday, closing 0.14 percent better to settle at 43,260.13. It is, however, not enough to determine fate of equities in the current week.
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