NGX Tumbles as Banking, Consumer Goods Indices Dip
As bears maintained dominance, trading activities in the equities segment of the Nigerian Exchange (NGX) opened negative as local investors lost N76 billion. The downturn in market performance came after closing last week negative.
Nigerian bourse had crossed N30 trillion mark in the first quarter before its successive decline in market performance. The benchmark index traded at the pre-financial crisis level following a healthy earnings season with buckets of dividend declaration by NGX dividend aristocrats.
On Monday, major indices on the domestic bourse fell, due to its lightweight, gain recorded in the Insurance Index failed to upturn negative performance. The industrials index remained flattish as investors booked profit across major tickers.
The banking index’s negative movement reported on Monday pullback NGX from making a further trajectory. Data from the local bourse showed that the All-Share index closed lower by 0.1% to 54.184.34 points.
Equities market capitalisation lost N76 billion or 0.09 per cent to close at N29.517 trillion compared to N29.543 trillion posted at the last trading session. Also, the benchmark All-Share Index decreased by 48 points or 0.09 per cent to close at 54,184.34 from N54.323.34 recorded on Friday.
The downturn was impacted by losses recorded in medium and large capitalised stocks which included Tier-1 banking, among which are Zenith Bank, Guaranty Trust Bank Holding Company (GTCO) and First Bank Nigeria Holdings.
Consequently, the year-to-date return rose to 5.72 per cent. Market breadth closed negative as 23 stocks were on the losers’ chart and 17 on the gainers’.
A breakdown of price movement showed that Lasaco Assurance and AXA Mansard Insurance topped the gainers’ table with a gain of 10 per cent each to close at N1.21 and N2.09, per share, respectively.
Nigerian Aviation Handling Company (NAHCO) trailed with a gain of 9.88 per cent to close at N8.90, while Ikeja Hotels rose by 8.2 per cent to close at N1.32, per share.
Also, FTN Cocoa Processors was up by 5.75 per cent to close at 28k, per share. Conversely, Scoa Nigeria led the losers’ table, dropping by 10 per cent to close at 90k, per share.
UACN of Nigeria followed with a loss of 9.95 per cent to close at N8.60, while Sunu Assurances declined by 9.62 per cent to close at 47k, per share. Eterna Oil decreased by 9.56 per cent to close at N6.15, while Custodian fell by 8.87 per cent to close at N5.65, per share.
Analysis of the market activities showed trade turnover settled lower relative to the previous session, with the volume of transactions down by 48 per cent. A total of 292.56 million shares valued at N2.38 billion were exchanged in 4,408 deals.
Sectoral performance was mixed, as the Oil & Gas (-0.3%), Consumer Goods (-0.3%), and Banking (-0.3%) indices settled lower, while the Industrial Goods index closed flat.
The Insurance (+0.3%) index was the sole gainer for the day. As measured by market breadth, market sentiment was negative (0.8x), as 22 tickers lost relative to 17 gainers. Oando Gains 34% as Investors Target Acquisition Price
SCOA (-10.0%) and UACN (-10.0%) recorded the most significant losses of the day, while MANSARD (+10.0%) and LASACO (+10.0%) topped the gainer’s list. #NGX Tumbles as Banking, Consumer Goods Indices Dip