Courtesy of TRW Stockbrokers, here is the market report for the week ended April 10th, 2009:

The NSE All-share index fell by 45.6% to close the year 2008 at 31,450.78 points. Since the beginning of 2009 the index has lost more than 30%. It closed Friday at 19,954.15 points. Average Turnover for the NSE All-share index for the twelve months ended December 31, 2008 came in at N66.98 billion as against N51.85 billion achieved same period a year ago, or a gain of 21.9%. Average After tax profit came in at N7.68 billion as against N4.4 billion same period a year ago, or a gain of 74.5%.  Average earnings per share (EPS) of N2.96k for the NSE-All share index for the twelve months ended December 31, 2008. Net profit margin for the same period came in at 9.48% against 9.27% seen same quarter of 2007.

Finally, the stock market acts as a leading indicator for the economy six months ahead. The economy is expected to be in downturn in the months ahead bearing all unforeseen circumstances.

On the economic front, the CBN tight monetary policies continue to take a toll on the stock market. The CBN increased MPR (minimum policy rate) to 10.25% and inflation is running at 12% up from 6.4% in April 2008. These have discouraged borrowers. Consumer spending and confidence is down, this in turn is helping to slow down our over heated economy that has caused rising prices of goods and services. Until the CBN reduces its policy rate which should be followed by the Ministry of Finance purchases of TBILL; including increased Gov’t spending, the economy will remain in downturn; hence, the market.