The market capitalisation which measures the total value of stock on the Nigerian Stock Exchange (NSE) hit an all year high of N10.121 trillion on Tuesday.
On Friday, the NSE crossed the N10 trillion mark for the first time in 2017, and has maintained such upward trajectory into bullish trade on Tuesday.
The market, which closed at N10.047 trillion on Friday, closed Tuesday at N10.121 trillion, with an all share index (ASI) of 29,276.59 — the highest since June 2016.
The bullish trend was aided by rallying of bank stock at fresh highs. First Bank of Nigeria saw its stock soar by over 10 percent to its highest levels since 2015.
Nigeria’s central bank claims that the rally seen in the stock market has been as a result of improved foreign exchange policy actions by its administration.
Godwin Emefiele, governor of the apex bank, said improvements in the forex market is bolstering activities of the capital market.
“Relative to end-December 2016, the capital market indices rose by 4.60 and 5.10 percent, respectively, reflecting growing investor confidence following improvements in foreign exchange supplies reflected in the over US$1billion injected through the investor window and exchange rate management,” Emefiele had said.
“Total foreign exchange inflows through the CBN increased by 69.77 per cent in April, 2017 compared with the previous month. Total outflows, however, rose, but less significantly, at 29.35 percent during the same period.
“Consequently, the Committee observed that the average naira exchange rate remained stable at the inter-bank segment of the foreign exchange market in the review period.”
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