Stock Market Down N16bn on Weak Investors’ Sentiment 

Kayode Tokede

The stock market of the Nigerian Exchange Limited (NGX) yesterday opened the new trading week extending its losing streak for the seventh consecutive session as investors’ weak sentiment trading down market capitalisation by N16 billion.

The NGX All Share Index (ASI) decreased by 29.35 basis points or 0.05 per cent to close at 54,886.04 basis points, while the market capitalisation lost N16 billion to close at N29.900 trillion.

Analysing by sectors, the NGX Banking Index added 1.3per cent, and NGX Industrial Goods appreciated by 0.1per cent, while the Insurance Index down by 0.5per cent and NGX Consumer Goods Index depreciated by 0.4 per cent printed losses. On the other hand, the NGX Oil & Gas index closed flat.

Meanwhile, market breadth, which is measure by market sentiment was positive, as 19 stocks gained relative to 14 losers. Access Holdings recorded the highest price gain of 7.14 per cent to close at N9.00, per share.

Cutix followed with a gain 5.69 per cent to close at N2.23, while University Press  appreciated  by 5.53 per cent to close at N2.10, per share.

Custodian Investment went up by 5.17 per cent to close at N6.10, while Chams Holding Company appreciated by 4.17 per cent  to close at 25 kobo,  per share. On the other hand, Ikeja Hotel led the losers’ chart by 9.52 per cent to close at N1.14, per share.

Wapic Insurance   followed with a decline of 9.52 per cent to close at 38 kobo, while Stanbic IBTC Holdings went down by 8.52 to close at N36.50, per share.

Multiverse Mining and Exploration lost 5.80 per cent to close at N3.25, while Livestock Feeds shed 5.50 per cent to close at N1.03, per share.

The total volume traded went up by 646.50 per cent to 1.172 billion units, valued at N2.877 billion, and exchanged in 3,066 deals.

Transactions in the shares of Neimeth Pharmaceutical topped the activity chart with 1.069 billion shares valued at N1.581 billion. United Bank for Africa (UBA) followed with 15.964 million shares worth N128.784 million, while Access Holdings traded 13.033 million shares valued at N114.365 million.

Transnational Corporation (Transcorp) traded 11.770 million shares valued at N15.257 million, while Zenith Bank transacted 9.861 million shares worth N243.759 million.

Analysts at InvestmentOne Research said, “The equities market recorded a negative performance today due to the slumping prices printed in the Consumer Goods sector.

“Going forward, we expect investor’s sentiments to be swayed by the search for real positive returns and developments in the interest rate space.

They reiterated that this may be a great period to pick up some quality names with a medium to long-term investment horizon.