NSX Local Index stays anchored in global storm

THE Local Index of the Namibian Stock Exchange (NSX) remained resilient in the raging global financial storm, growing 1,5 per cent during the first three months of 2009 and recording its 14th consecutive quarterly gain.

Investment House Namibia (IHN) latest Market Review reports that the Local Index closed the quarter at an all-time high of 160,3, up 157 per cent over the past five years. Performance was mainly driven by FNB Namibia and Namibia Breweries (NBL), stockbrokers say.
The Local Index came out second best compared to 13 major indices in the first quarter (Q1) and over the last year.
In US dollar terms the NSX Local Index gained 0,9 per cent in Q1 of 2009, followed by the Johannesburg Stock Exchange (JSE) Resource 20 Index with 0,1 per cent. Tops was the JSE Gold Index with 21,9 per cent.
These were the only three indices in positive territory, IHN’s review shows.
The Nasdaq, America’s equities securities trading market, contracted by minus 3,1 per cent, followed by the JSE Top 40 with minus 5,6 per cent and the JSE All-Share Index with minus 5,8 per cent.
France’s CAC 40 gained minus 8,5 per cent, followed by the JSE Financial 15 with minus 10,1 per cent and the JSE Industrial 25 with minus 10,7 per cent.
The United Kingdom’s FTSE contracted by minus 10,8 per cent, followed by Germany’s DAX with minus 11,0 per cent and the US’s 500 large-cap common stocks, the S&P 500, with minus 11,7 per cent. New York’s Dow Jones Industrial Index recorded minus 13,3 per cent.
The NSX Overall Index performed the worst during the first three months, contracting by minus 14,4 per cent. IHN contributes this to the weak performance of resources.
For the year, performance was as follows: NSX Local Index (-2,6), FTSE (-4,6), JSE Gold (-7,5), Dax (-25,0), CAC (-28,4), Nasdaq (-32,9), S&P 500 (-39,7), JSE All Share (-41,9), JSE Top 40 (-43,2), JSE Resource 20 (-49,3) and the NSX Overall Index (-56,9).
The IHN report shows NBL to be the top performer on the NSX Local Index during Q1. NBL shares gained 3,7 per cent, while over a year it gained 17,8 per cent.
FNB Namibia was up 1,3 per cent in Q1 and 23,2 per cent over a year. Oryx Properties lost minus 0,1 per cent, compared to its one-year gains of 0,5 per cent.
Both Nictus and Trustco shares showed no movement in Q1. Nictus gained 46,2 per cent over the year and Trustco 2,9 per cent.
Value-wise, the NSX Local Index and Overall Index remain extremely small.
At the end of Q1, value stood at 160,3, and 478,8 respectively, compared to the JSE All Share Index (20 363,9), the Dow Jones Industrial Index (7 608,9), Dax (4 084,8) FTSE (3 926,1) and Nasdaq (1 528,6).
The quarter’s top performer on the NSX new Development Index (DevX) in Q1 was Langer Heinrich owner Paladin Energy Ltd, whose shares gained 58 per cent to close at N$26,45 per share. Over a year, shares gained minus 31,3 per cent, and over a six-month period it gained seven per cent, IHN’s review shows.
Another shiner on the DeVX was uranium explorer Xemplar, whose shares gained 33,9 per cent during the first three months and closed the quarter at N$2,33 per share. Its performance over a year tumbled to minus 85,1 per cent, but recovered to 9,4 per cent over a six-month period.
Reptile Uranium owner Deep Yellow gained 24,0 per cent, closing Q1 at 93 cents per share. Over one year, shares gained minus 51,6 per cent, and minus 37,2 per cent over a six-month period.
Bannerman Resources, owners of the Etango Uranium Project, gained 5,2 per cent. The share price at the end of Q1 was N$5,91 per share. Its one-year performance stood at minus 57,7 per cent. Over six months, Bannerman posted gains of 31,0 per cent.
Valencia Uranium owners, Deep Yellow Ltd, slumped by minus 15,9 per cent in Q1, closing at N$37,66 per share. Over a year, Deep Yellow gained 107,3 per cent and over six months 2,5 per cent.
jo-mare@namibian.com.na