Some financial experts have expressed optimism that there would be increased liquidity in the capital market in the second quarter of this year.

They told the News Agency of Nigeria (NAN) in Lagos on Wednesday that the sustained economic recovery measures of the Federal Government would impact positively on the market this quarter.

Dr Uche Uwaleke, the Head of Banking and Finance Department in Nasarawa State University, Keffi, said that the market would witness enhanced liquidity during the period with the appreciation of the naira.

Uwaleke said that the lower inflation rate and the expected passage of the 2017 budget would also help to boost liquidity in the stock market.

“For the equities market, the year-to-date return currently stands at a negative of 5.96 per cent. However, for the second quarter of 2017, I expect a positive turnaround in the fortunes of the stock market, ” he said.

Uwaleke said that that the financial performance of many listed firms would improve, noting that of 25 companies that had released their audited financial results, 13 reported increased earnings.