Equities market drops by 0.12% amid weak investors’ sentiment
By Kayode Tokede
The Nigerian Exchange Limited stock market on Tuesday closed transaction on a negative note to halt five-days of market gaining streak.
The profit-taking is coming on the heels of Central Bank of Nigeria (CBN) decision to hold all its monetary policy parameters unchanged, leading to investors sentiment trading.
The CBN’s Monetary Policy Committee (MPC) concluded its two-day policy meeting yesterday and voted to maintain all policy parameters unchanged.
The interest rate was maintained at 11.50 per cent, Cash Reserve Ratio (CRR) was held at 27.50 per cent and the Liquidity Ratio was retained at 30.00 per cent.
In summary, the Nigerian Exchange Limited All-Share Index (ASI) dropped by 46.93 basis points, representing a decline of 0.12 per cent to close at 38,802.15 basis points, while the overall market capitalisation value lost N25billion to close at N20.216 trillion.
The market loss was driven by price depreciation in large and medium capitalised stocks amongst which are MTN Nigeria Communications (MTNN), Unilever Nigeria plc, Africa Prudential and International Breweries.
The market sentiment, as measured by market breadth closed at par, recording 20 gainers as against 20 losers. Oando recorded the highest price gain of 9.86 per cent to close at N4.79, per share. Champion Breweries followed with a gain nine per cent to close at N2.30, while FTN Cocoa Processors went up by 8.89 per cent to close at 49 kobo, per share.
Fidson Healthcare rose by 6.73 per cent to close at N6.50, while Livestock Feeds gained 6.73 per cent to close at N2.29, per share. On the other hand, UPDC Real Estate Investment Trust led the losers’ chart by 6.67 per cent to close at N5.60, per share. Unity Bank followed with a decline of 6.45 per cent to close at 58 kobo, while NPF Microfinance Bank lost 5.29 per cent to close at N1.61, per share.
UACN Property Development Company (UPDC) lost 5.19 per cent to close at N1.28, while Chams shed 4.76 per cent to close at 20 kobo, per share.
The total volume of trades decreased by 1.41 per cent to 243.086 million units, valued at N1.899 billion, and exchanged in 4,326 deals.
Transactions in the shares of Access Bank topped the activity chart with 21.766 million shares valued at N204.436 million. Wema Bank followed with 21.299 million shares worth N17.862 million, while UPDC traded 14.552 million shares valued at N18.267 million.
UAC of Nigeria (UACN) traded 14.420 million shares valued at N162.185 million, while United Bank for Africa (UBA) transacted 12.608 million shares worth N99.080 million.
