Nigerian equities recorded their highest loss in five months on Tuesday as continuing selloff pulled the market to a net capital loss of N369 billion. Benchmark indices at the Nigerian Stock Exchange (NSE) showed an average day-on-day decline of 2.41 per cent, equivalent to net capital depreciation of N369 billion.
The All Share Index (ASI)-the common value-based index that tracks share prices at the Exchange, dropped to 41,708.15 points as against its opening index of 42,737.89 points. Aggregate market value of all quoted equities correspondingly dropped from its opening value of N15.337 trillion to close at N14.968 trillion. With this, average year-to-date return slid to 9.06 per cent.
All sectoral indices also closed in the red, underscoring the widespread sell sentiment. The NSE Consumer Goods Index depreciated by 2.8 per cent. The NSE Industrial Goods Index dropped by 1.6 per cent. The NSE Insurance Index declined by 1.5 per cent. The NSE Oil & Gas Index dipped by 0.6 per cent while the NSE Banking Index dropped by 0.2 per cent.
There were 40 decliners to 15 advancers. The decliners were headlined by losses recorded by highly capitalised stocks. Nestle Nigeria-Nigeria’s highest-priced stock, topped the chart with a loss of N40 to close at N1, 320. Dangote Cement-Nigeria’s most capitalised quoted company followed with a drop of N13.30 to close at N258.70. Nigerian Breweries-the second most capitalised quoted company dropped by N5.20 to close at N127.80. Guinness Nigeria declined by N5 to close at N105. International Breweries lost N2.50 to close at N57.50. Forte Oil declined by N2.40 to close at N45.80 per share. Dangote Flour Mills dropped by 75 kobo to close at N15.10. United Bank for Africa lost 65 kobo to close at N11.15. 11, formerly Mobil Oil Nigeria, declined by 50 kobo to close at N199 while Stanbic IBTC Holdings dropped by 45 kobo to close at N45 per share.
Total turnover stood at 470.5 million shares valued at N3.68 billion in 6,309 deals. Low-priced continued to dominate the activities chart. Diamond Bank was the most active stock with a turnover of 67.7 million shares valued at N181.14 million. FCMB Group followed with a turnover of 49.22 million shares worth N126.18 million while Fidelity Bank ranked third with 42.78 million shares valued at N129.55 million.
On the upside, Lafarge Africa led the contrarian stocks with a gain of N1 to close at N51. Zenith Bank followed with a gain of 60 kobo to close at N30. Access Bank and Berger Paints rose by 45 kobo each to close at N12 and N9.45 respectively. Dangote Sugar Refinery added 30 kobo to close at N21. Eterna chalked up 27 kobo to close at N5.69 per share. Nigerian Aviation Handling Company and Africa Prudential added 18 kobo each to close at N3.89 and N4.88 respectively. May & Baker Nigeria rose by 9.0 kobo to close at N2.80 while University Press inched up by 6.0 kobo to close at N2.14 per share.
“Following seven consecutive days of decline in the market, we do not rule out the possibility of an upswing in performance before the end of the week,” Afrinvest Securities stated.
“Our theme on equities remain positive, despite broad selloffs, as declining prices suggest potential bargain hunting — with investors positioning ahead of fourth quarter 2017 earnings season,” Cordros Capital stated.
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