Equities Investors Lose N294bn to Selloff on Nigerian Bourse
Equities investors lost about N294 billion as the Nigerian stock market capitalisation declined further. The Nigerian Exchange (NGX) opened the week negatively because investors offloaded shares of top big banks following FTSE Russell downgrading the Nigeria Index.
In the first two trading sessions in the new week, the stock market lost ₦757 billion as bearish activities dragged key performance indicators downward by 0.08%. The local exchange year-to-date return backtracked, indices slumped and market capitalisation also went downhill.
Stockbrokers said the negative outing in the market on Tuesday was a result of bears’ grip or profit-taking activities on financial and consumer goods stocks. As a result, the NGX year-to-date return moderated further, settling at 30.26%, as investors’ wealth was down by approximately ₦293 billion.
Atlass Portfolios Limited said in its daily update that the All-Share Index fell by 535.98 basis points, representing a decrease of -0.80% to close at 66,760.20 points.
However, market activities were up, given that total volume and total value traded for the day increased by +24.11% and 32.15% respectively. According to Atlass Portfolios, approximately 645.54 million units valued at ₦11,014.47 million were transacted in 10,554 deals.
TRANSCORP was the most traded stock in terms of volume, accounting for 13.69% of the total volume of trades. The conglomerate company was followed by UBA (11.82%), ACCESSCORP (10.82%), FIDELITYBK (7.53%), and GTCO (6.19%) to complete the top 5 on the volume chart.
DANGSUGAR was the most traded stock in value terms, with 12.50% of the total value of trades on the exchange. CHELLARAM and CWG both topped the advancers’ chart for today with a price appreciation of 10.00 percent each.
These stocks were trailed by VITAFOAM (9.78%), OANDO (+9.47%), WEMABANK (+8.94%), NEIMETH (+8.23%), and ten others. Forty-four stocks depreciated, where ETRANSACT, and REGALINS were the top losers, with a price depreciation of -10.00% each.
NASCON lost 9.96% of its market valuation to the selloff. DANGSUGAR gave up 9.96% of its recent price increment. Following weak earnings performance, some investors lost interest in UNITYBNK. Losing 9.92%. CHAMPION went down by 7.46% and CADBURY declined by 4.85%.
Given the trading pattern, the market breadth closed negative, recording 16 gainers and 44 losers. Also, the market sector performance closed negative. Three of the five major market sectors were down, led by the Banking sector, which dropped by (2.60%).
This was followed by the Insurance sector (-2.31%), and the Consumer goods sector by (1.72%). The Industrial sector grew marginally by (+0.03%), while and the Oil & Gas sector closed unchanged. >> Naira Devaluation Deepens Economic Crisis in Nigeria
Overall, equities market capitalisation lost ₦293.55 billion, representing a decline of -0.80%, to close at ₦36,538.33 trillion from ₦36,831.68 yesterday. #Equities Investors Lose N294bn to Selloff on Nigerian Bourse