Investors lose N28.33bn amid improved market breadth

By Kayode Tokede

The Nigerian Stock Exchange (NSE) market on Tuesday slipped further by N28.33 billion, extending its losing streak to seven consecutive trading sessions.

Specifically, the market capitalisation lost N29 billion or 0.13 per cent to close at N21.715 trillion from N21.744 trillion recorded on Monday.

Also, All-Share Index dropped 54.15 basis points or 0.13 per cent to close at 41,510.16 basis points compared with 41,564.31 basis points achieved on Monday.

Sector performances were negative today with the Banking (-0.52 per cent), Consumer Goods (-0.25 per cent), Oil & Gas (-0.25 per cent) and Industrial (-0.04 per cent) sectors all closing in the red.

The market loss was driven by price depreciation in large and medium capitalised stocks, amongst which are Northern Nigeria Flour Mills (NNFM), NEM Insurance, Niger Insurance, Japaul Gold and Multiverse.

Market sentiment, as measured by market breadth, closed at par with 23 gainers and 23 losers.

NNFM led the losers’ chart in percentage terms, losing by 9.94 per cent to close at N7.79 per share.

NEM Insurance followed with 9.20 per cent to close at N2.27, while Niger Insurance shed by 9.09 per cent to close at 20k per share. Japaul Gold dipped 8.86 per cent to close at 72k, while Multiverse shed 7.69 per cent to close at 24k per share.

Conversely, Champion Breweries, Linkage Assurance, Morison Industries and R.T Briscoe dominated the gainers’ table in percentage terms, gaining 10 per cent each to close at N2.75, 66k, 55k and 22k per share, repectively.

Wema Bank trailed with 7.69 per cent to close at 70k, while Sovereign Trust Insurance went up by 7.14 per cent to close at 30k per share.

Transactions in the shares of FBN Holdings topped the activity chart with 47.76 million shares valued at N351.06 million.

Guinness followed with 37.25 million shares worth N732.33 million, while RT Briscoe traded 26.83 million shares valued at N5.89 million.

Zenith Bank sold 25.08 million shares worth N651.002 million, while Sterling Bank transacted 19.99 million shares valued at N38.15 million.

In all, investors bought and sold 305.93 million shares worth N3.95 billion in 4,961 deals.

This was in contrast with 340.28 million shares valued at N2.64 billion exchanged in 5,251 deals on Monday.

According to analysts at InvestmentOne Research, “The equities market closed down today due to the losses recorded in all major sectors.

“Going forward, we expect investor’s sentiments to be swayed by the search for real positive returns amidst a low interest-rate environment.

“We reiterate that this may be a great period to pick up some quality names with a medium to long-term investment horizon.”