NGX Slides as Investors React to Interest Rate Hike
Reversing yesterday’s rally, the Nigerian Exchange (NGX) slides as equities investors react to interest rate hike by the monetary authority for the third time in 2022.
The Exchange All-Share Index declined by 54.54 basis points to close at 49,163.81 while equities market capitalisation shed N15 billion or 0.56 per cent to close at N26.517 trillion as against N26.532 trillion recorded the previous day.
The weak performance was driven by selloff in shares of Guaranty Trust Holding Company (GTCO), United Bank for Africa (UBA), Access Holding and FBN Holdings.
Consequently, the year-to-date return fell to 15.09 per cent. Market breadth closed negative as 17 stocks declined while 14 advanced.
NGX Group and Multiverse Mining & Exploration led the gainers’ table during the day, gaining 10 per cent each to close at N19.80 and N3.41 per share. READ:Dollar Falls as Markets React to U.S Interest Rate Hike
Eterna followed by gaining 9.91 per cent to close at N6.32, while Courteville Business Solutions added by 8.89 per cent to close at 49k per share.
Champion Breweries appreciated by 8.53 per cent to close at N3.69 per share. On the other hand, May & Baker topped the losers’ chart, shedding 9.79 per cent to close at N3.50 per share.
Regency Alliance Insurance trailed with a loss of 7.69 per cent to close at 24k, while Vitafoam Insurance declined by 5.38 per cent to close at N20 per share.
Unilever and Glaxosmith were down by 5.38 per cent and 5.08 per cent each to close at N12.30k and N5.60 per share, respectively.
The total volume of trades climbed by 16.73% to close at 139.24 million units and the total value traded was up by 87.77% to close at about N1.60 billion. Total number of deals for the day was 3,421.
Transcorp was the most active stock, exchanging 38.46 million shares worth N38.99 million. Zenith Bank followed with an account of 35.74 million shares valued at N710.83 million, while FCMB traded 30.19 million shares worth N105.61 million.
Vitafoam sold 18.13 million shares valued at N362.77 million, while Linkage Assurance exchanged 8.89 million shares worth N4.18 million.
Overall, sector performance closed par, as two out of the five major market sectors closed bearish, led by the Banking sector (-0.65%), and the Consumer goods (-0.52%), while the Oil & Gas sector (+0.20%) and Insurance sector (+0.06) closed positive, as the Industrial sector was unchanged.
# NGX Slides as Investors React to Interest Rate Hike#
