Nigerian Bourse Opens Negative as Stocks Shed N54 Billion
The Nigerian local bourse gets off on a negative note Monday as stocks shed N54 billion, ending gaining streaks reported last week. Profit hunters executed large sell orders on big names as BUA Cement stock price tumbled by 2.8%, ETI sheds 1.0% and FIDSON fell rapidly with share dropping 9.8%.
The bearish outturn saw the Nigerian Exchange All-Share index (NGX-ASI) down by 0.27% as market capitalisation ended the day at N20.09 trillion. Stockbrokers explained that the negative reaction from the investors was impacted by profit-taking in two of the five major sectors; Insurance and Oil & Gas sectors.
As a result, the NGX-ASI shed 103.61 basis point to close at 38,545.30 points, while the market capitalization lost N54.00 bn to close at N20.09 trillion.
Also, the market recorded 18 gainers compared to17 losers as market breadth closed marginally positive. Similarly, the day’s market activities ended bearishly as the volume and value of trades declined by 5.18 per cent and 30.27 per cent, respectively.
A total of 209.21 million units of shares valued at N1.76 billion, were traded in 3,390 deals. Market data shows that ACCESS led the volume chart with 10.86 per cent trailed by MANSARD (7.98%), ZENITH BANK (7.72%), MBENEFIT (7.02%) and CHAMS (6.44%).
However, the value chart was led by ZENITH BANK, accounting for 21.81% of the shares traded on the bourse. MEYER, CHAMPION and JBERGER topped the gainers’ chart, with their share prices appreciating by 8.77 per cent, 6.06 per cent and 4.71 per cent respectively.
While FIDSONT led the losers’ table with its share price depreciating by 9.80 percent to close at N4.60 after opening the day at N5.10
Accordingly, month to date gain moderated to +0.3%, while year-to-date loss increased to -4.3%. Analysing by sectors, the Industrial Goods (-1.2%), Insurance (-1.1%) and Oil & Gas (-0.1%) indices declined while the Banking (+0.1%) and Consumer Goods (+0.1%) indices recorded gains.
Mixed Sector Performance
Afrinvest said performance across sectors under its coverage recorded mixed results as 3 indices lost, 2 gained, and 1 closed flat.
The Industrial Goods index led laggards, down 1.2% on the back of sell-offs in BUACEMENT (-2.8%). Similarly, the Insurance and Oil & Gas indices declined by 1.1% and 7bps respectively following price depreciation in WAPIC (-3.5%), MBENEFIT (-8.9%) and OANDO (-1.7%).
Conversely, the Banking and Consumer Goods indices inched higher by 11bps and 6bps respectively due to buying interest in ZENITH (+0.4%), STANBIC (+2.3%) and FLOURMIL (+0.3%). On the other hand, the AFR-ICT index closed flat.
“In the next trading session, we expect the domestic bourse to extend bearish performance in the absence of any positive catalyst”, Afrinvest said.
Nigerian Bourse Opens Negative as Stocks Shed N54 Billion
