NSE Records First Bearish Performance in 2021 as Investors Take Profit
The Nigerian Stock Exchange (NSE) records first bearish session in 2021 today due to sell-offs in BUA Cement, MTNN and Zenith Bank stocks.
At the close of trade, the domestic equities market posted a negative performance as the benchmark index declined 183 basis points to close at 40,396.14 points.
The bearish performance was driven by losses in BUACEMENT (-5.9%), MTNN (-2.8%) and ZENITH (-4.3%).
Consequently, year to date return fell to 0.3% while market capitalisation decreased by ₦392.8 billion to settle at ₦21.1 trillion.
Activity level surged as volume and value traded advanced 119.7% and 265.6% to 465.7m units and ₦5.1 billion respectively.
The most traded stocks by volume were TRANSCORP (69.2m units), ZENITH (31.7m units) and FCMB (26.6m units).
Meanwhile ZENITH (₦788.3m), NIGERIAN BREWERIES (₦606.5m) and MTNN (₦591.7m) led by value.
Read Also: NSE Drifts South on Account of Profit Taking in Banking Stocks
Afrinvest hinted that performance across sectors was bearish as 5 of 6 indices under its coverage closed in the red.
The Banking and Industrial Goods indices led losers, shedding 3.0% and 2.7% respectively due to sell-offs in ZENITH (-4.3%), GUARANTY (-2.8%), BUACEMENT (-5.9%) and WAPCO (-2.4%).
Similarly, the AFR-ICT and Consumer Goods indices fell 1.2% and 0.3% in that order, dragged by price depreciation in MTNN (-2.8%), FLOURMILL (-3.2%) and DANGSUGAR (-1.1%).
The Oil & Gas index fell marginally by 3bps following a loss in OANDO (-10.0%).
Conversely, the Insurance index was the lone gainer, up 1.6% due to buying interest in CORNERSTONE (+6.8%) and SOVRENIN (+9.1%).
Investor sentiment as measured by market breadth (advance/decline ratio) worsened to 0.4x from the 15.5x recorded previously as 15 stocks advanced against 34 decliners.
BOCGAS (+9.7%), NEM (+9.5%) and SOVRENINS (+9.1%) were the best-performing tickers while OANDO (-10.0%), FTNCOCOA (-9.7%) and MAYBAKER (-8.5%) were the only losers.
“We anticipate sustained profit-taking in the next trading session”, Afrinvest stated.
NSE Records First Bearish Performance in 2021 as Investors Take Profit
