INVESTORS in the nation's capital market, last week, continued to express delight regarding the  prospect of their investment drive in shares, even as they claim that government's policy may not work in favour of market growth.

Besides, some experts said the climb in transaction value in the equities market in the week was a major pointer to investors' quest towards the purchase of stocks in an economy where stability is hoped to creep into its market soon.

The figures emanating from the market show that investors are skeptical about the recent removal of the fuel subsidy which was never planned for by the people, just as this is said to have varied the trust of the investors in the economy.

Investors had also hoped that the planned recovery of the market which went down in value in 2011 by 17 per cent, would be made to bounce back by government's continued building on policies of economic sustainability.

The early hope of rising index for the equities market following investors' anticipation of a plausible transaction after the 2011 financial year, last week, gained  momentum, as investment value for the week rose by 0.4 per cent.

Investors' expectation had heightened owning to the coming of a new finance minister, Dr Ngozi Okonjo-Iweala.

Stocks price’ rise continued in the week
Notwithstanding the sell pressure of equities in the market, in the last three weeks, equity price gain is said to be a pointer that the rebound of the market is around the corner.

The Nigerian market has not been able to sustain the rallies witnessed in the marginal climb of equity value in the last quarter of 2011 due to a fresh cycle of negative news.

Bearing his mind on the dip in stock market value, the Managing Director of Lambeth Securities, Mr David Adonri, said, recently, that as a result of dormancy in secondary bond market, where equities decline, retail investors could not take defensive positions by seamlessly migrating their exited assets to bonds. Adonri said that this was a major challenge the regulators needed to address urgently to ensure a stable capital market.

Factors challenging market rebound  
Many factors can readily be said to have brought the market down on it's kneel. Investors on one hand, owning to poor education, see the market as a place for the get rich quickly, while operators (Stockbrokers, Issuing Houses) at times, by pass rules governing the market while trying to be smart and short-change their clients.

The regulators, the Central Bank of Nigeria (CBN), Securities and Exchange Commission (SEC) and Nigerian Stock Exchange (NSE) whose custody/responsibility it is to coordinate  the day to day running of the equities market, are usually enmeshed in silent cold war whose end result is what the investors are suffering today.

Months of bearish trading recorded on the nation's capital market  have been the one making investors in the market to have sleepless nights contrary to belief by experts that following government's intervention in the stock market, investors will begin to heave a sigh of relief.  

Transactions last week
Heavy losses incurred by virtually all the blue chip companies on the Nigerian Stock Exchange, on Monday, pulled back market indices, as market capitalisation slided further by N43billion.

A further review of activities in the day showed that only four companies recorded price appreciation, compared to 39 that constituted the losers' chart. The All-share index fell by 136.86 basis points or o.6 per cent from 20,820.32 recorded on Friday to 20,683.46, while market capitalisation shed weight by N43billion from N6, 560trillion to N6, 517trillion.

On the price movement chart, Dangote Flourmill topped the losers' chart with 4.98 per cent to close at N5.34 per share, followed by Nigerian Bags Manufacturing Company with 4.82 per cent to close at N1.58 per share.

Oando lost 4.76 per cent to close at N20.00 per share, while Custodian &Allied Insurance and RT Briscoe shed 4.76 and 4.69 per cent to close at N2.20 and N1.22 per share.

Guaranty Trust Assurance, Goldlink Insurance, Premier Breweries shed 4.62, 4.41 and 4.35 per cent to close at N1.24, N0.65 and N0.88 per share.

United Bank for Africa and Cutix also lost 4.35 and 4.32 per cent to close at N2.20 and N1.55 per share.

On the other hand, Nigerian Aviation Handling Company led others on the gainers' chart with 4.87 per cent to close at N6.46 per share, while Prestige Assurance followed with 4.65 per cent to close at N0.90 per share.

National Salt Company of Nigeria added 2.44 per cent to close at N4.20 per share, while Eternaoil gained 1.82 per cent to close at N2.79 per share.

The banking subsector dominated in volume terms with 137million shares worth N67million, followed by the financial services subsector with 19million units worth N1.1billion.

On the whole, investors exchanged 187million shares worth N1.1billion in 3,136deals.

Activities on the Nigerian Stocks Exchange (NSE) on Tuesday closed on negative trend as the key benchmark indices dropped again by 84.79 basis points or 0.41 per cent to close at 20,598.67.67, while the market capitalisation of 186 first-tier equities depreciated by N27 billion to close at N6.491 trillion.

Specifically, three out of the five NSE sectoral indices closed on a negative note as NSE 30 index which basically measures the performance of blue chips dropped by 0.44 per cent to close at N921.18 points; NSE Food & Beverages index lost 0.44 per cent to close at 1,674.92 points and NSE Banking index also lost 1.24 per cent to close at 260.97 points. NSE Insurance index moved up by 0.15 per cent to close at 125.99 basis point, while NSE Oil & Gas closed parallel at a gain of 0.33 per cent to close at 226.44 basis points.

A further review of the days activities showed that a turnover of 216 million shares worth N2.081 billion in 3,688 deals was recorded in the day, in contrast to a total of 187 million shares valued at N1.161 billion exchanged last Friday in 3,136 deals.

The Financial Services sector accounted for 167 million shares valued at N787 million traded in 1,955 deals. The Banking sub-sector of the Financial Services sector was the most active during the day (measured by turnover volume); with 107 million shares worth N742 million exchanged by investors in 1,858 deals.

Volume in the Banking sub-sector was largely driven by activities in the shares of First Bank Plc, Fidelity Bank Plc, and Guaranty Trust Bank Plc.

The number of gainers at the close of trading session closed at 13 as against 4 recorded in the previous session, while decliners also closed at 30 as against 39 losers recorded in the previous trading day.

However, Newgold Plc led on the gainers' table with a gain of N6.00 kobo to close at N2,621 kobo per share while Nestle Nigeria Plc followed with a gain of N3.40 kobo to close at N423.00 kobo per share and Total Nigeria Plc gained N1.91 kobo to close at N190.01 kobo per share.

On the other hand, MRS Oil Plc led on the price losers' table, dropped N2.95 kobo to close at N56.05 kobo per share while Flour Mills Plc followed with a loss of N1.90 kobo to close at N60.10 kobo per share and Julius Berger Nigeria Plc with N1.35 kobo to close at N30.70 kobo per share.

Transactions on the NSE on Wednesday closed on a positive trend as market capitalisation rose by N9 billion to close at N6.500 trillion.

Similarly, another key benchmark indices, the All-Share Index gained by 26.89 basis points or 0.13 per cent to close at 20,625.56.

Specifically, three out of the five NSE sectoral indices closed positive as NSE 30 index which basically measures the performance of blue chips rose by 0.22 per cent to close at N923.18 points; NSE Food & Beverages index gained 0.04 per cent to close at 1,675.51 points and NSE Banking index also gained 0.76 per cent to close at 263.02 points. NSE Insurance index went down by 1.30 per cent to close at 124.35 point, while NSE Oil & Gas lost 0.43 per cent to close at N225.47 basis points.

The Financial Services sector accounted for 345 million shares valued at N1.317 billion traded in 1,756 deals. The Banking sub-sector of the Financial Services sector was the most active during the day (measured by turnover volume); with 206 million shares worth N559 million exchanged by investors in 1,674 deals.

Volume in the Banking sub-sector was largely driven by activities in the shares of Fidelity Bank Plc, Zenith Bank Plc, and First Bank Plc.

The number of gainers at the close of trading session closed at 17 as against 13 recorded in the previous session, while decliners also closed at 24 as against 30 losers recorded in the previous trading day.

Berger Paints Plc led on the gainers' table with a gain of N0.40 kobo to close at N8.45 kobo per share while Guaranty Trust Bank Plc followed with a gain of N0.33 kobo to close at N13.35 kobo per share and PZ Plc gained N0.24 kobo to close at N29.64 kobo per share.

Thursday trading closed in an upbeat, occasioned by price gains recorded by major blue chip companies, especially Diamond bank and Unilever Plc, as market capitalisation rose by N54 billion.

Market capitalisation increased by N54billion or 0.82 per cent to close at N6.554 trillion from N6.500 recorded on Wednesday, while the All-share index rose by 172.25 basis points or 0.83 per cent to close at 20,797.81.

Consequently, three out of the five NSE sectoral indices closed positive as NSE 30 index which basically measures the performance of blue chips rose by 0.83 per cent to close at 930.96 points; NSE Food & Beverages index gained 0.36 per cent to close at 1,681.62 points and NSE Banking index also gained 0.87 per cent to close at 265.33 points. NSE Insurance index went down by 0.60 per cent to close at 123.60 point, while NSE Oil & Gas remained static at 225.47 points.

During the day, a turnover of 196.9 million shares worth N2.18 billion in 2,700 deals was recorded on Thursday, in contrast to a total of 420.11 million shares valued at N2.05 billion exchanged on Wednesday in 3,323 deals.