Nigerian Exchange Bleeds, Investors Lose N1.113Trn

After losing N633 billion last week, the Nigerian Exchange (NGX) saw another selloff on Monday, with equities market investors losing more than N303 billion due to sustained selloffs on banking stocks.

The bearish trading activities on the domestic bourse dragged equities market performance indicators downward by -0.52%. As a result, year-to-date returns moderated again, closely near Nigeria’s 33.20% inflation rate for March.

The market’s release of Tier-1 banks’ massive profit performance did not insulate financial stocks from selling pressure. The All-Share Index, or market index, dropped by 536.09 basis points as a result. This represents a decline of -0.52% in the market index, which closed at 101,778.47.

Brokers reported that a hot red inflation reading of 33.20% for March 2024 caused equities market activity to plummet. Information obtained from the local exchange revealed that total volume and total value traded dropped by -55.50% and -66.79%, respectively.

According to a market update from Atlass Portfolios Limited, approximately 326.64 million units valued at ₦7,169.20 million were transacted in 10,777 deals. UBA was the most traded stock in terms of volume.

Thirteen percent of all stock market trade volume was made up of transactions involving shares of UBA, trailed by TRANSCORP, which accounted for 8.45% of the total transactions executed on the exchange.

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Other volume drivers are ACCESSCORP (7.55%), OANDO (6.95%), and FIDELITYBK (5.37%). The market report revealed that MTNN was the most traded stock in value terms, accounting for 16.34% of the total value of trades on the exchange.

UPDC topped the advancers’ chart with a price appreciation of 10.00 percent. The company stock was trailed by MORISON which gained +9.77%. Other gainers are: NEM (+8.90%), DAARCOMM (+7.69%), OANDO (+6.77%), MBENEFIT (+5.26%), and four others.

Thirty-two stocks depreciated, according to market data cited by stockbrokers. FIDELITYBK was the top loser, with a price depreciation of -10.00%.  On the loser chart are: JAIZBANK (-9.69%), GTCO (-7.73%), MAYBAKER (-7.38%), TRANSCORP (-6.35%), and ZENITHBANK (-3.38%).

At the end of the trading session on Monday, the market breadth closed negative, recording 10 gainers and 32 losers. Also, the market sector’s performance was negative. Stockbroker said two of the five major market sectors closed negative due to large selloffs. 

The banking sector dipped by 3.83%, followed by a 0.51% decline in the insurance index.

On the other hand, the consumer goods, industrial, and oil & gas sector closed flat. Overall, the equities market of the Nigerian Exchange lost ₦303.19 billion, representing a drop of -0.52%, to close at ₦57.56 trillion.#Investors Lose N303bn as Sell Pressures Dent Banking Index #Naira to Appreciate to N1200 vs US Dollar -Goldman Sachs

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