Nigerian stocks close flat amid relatively low volumes

Nigerian stocks closed flat today on relatively low volumes as investors took a breather following a recent rally. The NSE All-Share Index inched up by just 0.05% to 28,093 points. Aigboje Higo, Managing Director at Capital Bancorp, joined CNBC Africa to discuss the trading day. The focus was on the recent GDP figures and the NPC decision. While the NPC decision was expected and already priced in by analysts, it provided stability to the market. Higo highlighted that despite foreign investors initially targeting the fixed income market, there is still a strong case to invest in equities due to the recent positive performance in the stock market. He expressed optimism about the market holding steady and performing well in the coming weeks. Higo also discussed the impact of the GDP numbers on the market, noting that despite the negative figures, there has been a slowdown in the rate of decline over the past two quarters. He mentioned that manufacturing GDP is on the rise, attributing it to the central bank's policies making foreign exchange more available and affordable. He anticipated that this would lead to better performances for manufacturing companies on the stock market as lower prices and increased sales volume are expected. Looking ahead, Higo emphasized the expectation of improved GDP in the second quarter, which should translate to even better performances in the market. Overall, there is a sense of optimism building up in the market, fueled by positive economic indicators and a feel-good factor among investors. In conclusion, the Nigerian stock market appears poised for continued growth and stability as key economic factors align favorably. The gradual improvement in GDP, coupled with the central bank's policies supporting the manufacturing sector, is expected to drive positive outcomes for both companies and investors in the coming quarters.