Selloff persists as stock market plummets further by N2bn

Selloff persists as stock market plummets further by N2bn

The dominance of the bears has continued unabated on the equity sector of the Nigerian Stock Exchange (NSE), even as more blue-chip stocks join the league of losers, resulting to a further slide in market capitalisation by N2billion.

Specifically, at the close of transactions yesterday, the All-share index (ASI) shed 3.67 absolute points, a decrease of 0.01 per cent to close at 29,158.57 points. Similarly, market capitalisation shed N2billion to close at N10.952trillion.

Tuesday’s downturn was occasioned by price depreciation in medium and large capitalised stocks, among which are, NASCON Allied Industries, Ecobank Transnational Inc (ETI), Dangote Cement, Dangote Sugar Refinery and NEM Insurance.

Analysts at Afrinvest Limited, said: “Following the mild improvement in yesterday’s trading session relative to the prior session, we do not rule out the possibility of a positive performance in today’s trading session buoyed by the improving investor sentiment. However, we advise investors to remain cautious while seeking for opportunities as we maintain our bearish outlook over the near term.”

Market breadth remained negative with 12 gainers against 15 losers. Guaranty Trust Bank recorded the highest price gain of 7.77 per cent to close at N34 per share. Chams followed with 7.69 per cent to close at 28 kobo, while Stanbic IBTC Holdings rose 6.48 per cent to close at N46, per share.

Union Diagnostic & Clinical Services gained 4.55 per cent to close at 23 kobo, while Sovereign Trust Insurance increased 4.35 per cent to close at 24 kobo, per share.

On the other hand, NEM Insurance led the losers’ chart with 9.87 per cent to close at N2.10 per share. ETI followed with 6.67 per cent to close at N10.50, while Livestock Feeds fell 5.66 per cent to close at 50 kobo, per share.

Niger Insurance shed 4.76 per cent to close at 20 kobo, while NASCON was down by 4.75 per cent to close at N19.05, per share.

Total volume traded also fell 17.95 per cent to 374.03 billion units, valued at N3.06 billion, and exchanged in 3,634 deals.

Sterling Bank traded the highest with 119.72 million shares valued at N311.3 million. Chams followed with 50.23 million shares worth N14.06 million, while FBN Holdings traded 44.59 million shares valued at N323.14 million.

United Bank for Africa (UBA) traded 26.93 million shares valued at Nz61.94 million while Guaranty Trust Bank transacted 24.07 million shares worth N787.99 million.

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