NSE Investors Gain N162Bn Ahead Of Crucial OPEC Meeting

Investors on the Nigerian Stock Exchange (NSE) gained N162 billion following the crucial meeting between OPEC and OPEC plus slated for Thursday.

Fall in global oil prices led to a dip in global equity markets, with the NSE also affected.

OPEC and the OPEC plus would today decide on an oil cut of 10 million barrels per day as suggested by the United States President, Donald Trump.

NSE had on Wednesday recorded a plunge in the All Share Index (ASI) by 71 bps to end at 21, 073.26, as a result of the global impact.

The prospects of the outcome of the meeting between OPEC and OPEC plus had caused investor sentiment to become bullish both on the domestic and international stage as the ASI had at the close of trade on Thursday surged to 21, 384.03, a 1.47.53% increase.

Equity capitalisation on Thursday also rose to N11.144 trillion from N10.982.4 trillion recorded on Wednesday.

The bullish trend was attributed to the Russia and Saudi Arabia possible oil cut.

US DOW advanced by 0.3% to close at 64 points, while Futures for the S&P 500 (INX) and Nasdaq (COMP) finished marginally higher.

Similarly, global markets London’s FTSE 100 (UKX) and Germany’s DAX rose by 1%, while Australia’s S &P/ASX 200 rose by 3.5%.

Afri Invest Research said in response to the bullish trend that, “We are not overly optimistic about an elongated bullish run as the economy still reels from the disruptions caused by COVID-19 pandemic.”