Nigerian Exchange Shrinks as Equities Investors Wealth Falls
Equity market capitalisation declined due to an abundance of sell-side transactions on the Nigerian Exchange (NGX) platform. Stockbrokers processed substantial sell orders, resulting in a downturn in market performance on Monday.
The local stock market declined for three consecutive trading days. Broadstreet analysts believe the market has been excessively bought. Stockbrokers predict that trading on the Nigerian stock market this week will be influenced by cautious optimism, as there are no significant catalysts other than sentiment.
Trading details revealed that key performance indicators posted slight declines of 0.01% apiece, and year-to-date return moderated as bargain hunting eased on heavyweight, market-mover stocks.
Despite a positive market breadth, profit-taking activities in some medium- and large-cap stocks, particularly within the banking and industrial sectors, drag equities market performance downward.
Hence, the All-Share index shed 17.19 basis points today, settling at 119,978.57 index points, while the overall market capitalization dropped by approximately ₦10.89 billion, ending the session at ₦75.95 trillion.
On a broader scale, the market performance remains strong, stockbrokers at Atlass Portfolio Limited said in a note. Trading activities improved today as the total volume and total value of all trades executed increased by 224.70% and 246.87%, respectively.
In its update, Atlass Portfolio Limited told investors that approximately 2,031.88 million units valued at ₦44,336.64 million were transacted across 25,172 deals.
In terms of volume, OANDO led the activity chart, accounting for 26.16% of the total volume of trades, followed by ACCESSCORP (23.15%), UACN (9.08%), ELLAHLAKES (4.10%), and CAVERTON (3.93%). OANDO also emerged as the most traded stock in value terms, accounting for 45.91% of the total value of trades on the exchange.
CWG topped the advancers’ chart for today with a price appreciation of 10.00 percent, trailed by CAVERTON (+9.96%), NEIMETH (+9.93%), FTNCOCOA (+9.91%), MEYER (+9.84%), WAPIC (+9.66%), and twenty-six others.
Thirty-one stocks depreciated in the market, according to stockbrokers. LEARNAFRCA was the top loser, with a price depreciation of -10.00%. Other decliners include JBERGER (-9.97%), LEGENDINT (-7.22%), VFDGROUP (-6.08%), WAPCO (-3.00%), and STANBIC (-2.30%).
The market breadth closed slightly positive, recording 32 gainers and 31 losers. However, sectoral performance was negative. Three out of the five major market sectors tracked by Atlass Portfolio Limited went down.
The decline indexes were led by the banking sector, which declined by 1.09%, followed by the industrial sector, which edged lower by 0.42%, and the oil & gas sector, which fell by 0.29%. The consumer goods and insurance sectors recorded gains of 0.79% and 0.69%, respectively. #Nigerian Exchange Shrinks as Equities Investors Wealth Falls Nigerian Bonds Yield Falls to 18.6% Before Thin Auction Supply
