NSE LIVE! Negative sentiments widen as equities post 4th-day loss

In from Success Allantee … .
The spread and size of the downtrend at the Nigerian stock market widened yesterday as quoted equities posted their fourth consecutive decline. Average return at the Nigerian Stock Exchange (NSE) was down at -0.62 per cent yesterday, equivalent to a loss of N65 billion, sustaining a losing streak that has so far dominated this quarter and month.
With a negative close on the first trading session of the month and quarter last Friday, quoted equities had opened this week with a loss of N63 billion and added additional loss of N26 billion on Tuesday. The four-day consecutive decline has built up the negative average year-to-date return to -13.03 per cent.
With two decliners for every advancer, trading yesterday was characterized by stronger selling sentiments with investors willing to take higher discounts to match their offers.
The All Share Index (ASI)- the main index and price trend gauge for the Nigerian stock market, dipped to 30,141.06 points from its opening index of 30,330.58 points. The ASI is a value-based index and it tracks prices of all common equities on the NSE. Aggregate market value of all quoted equities also dropped from its opening value of N10.424 trillion to close at N10.359 trillion.
All other tracked indices for the premium and main boards at the stock market also closed negative. The NSE Main Board Index dropped by 0.94%. The NSE Pension Index lost 1.36% while the NSE Banking Index and the NSE Oil and Gas Index dipped by 2.20% and 1.82% respectively.
Forte Oil led the 30-stock losers’ list with a loss of N9.35 to close at N253.65 per share. UAC of Nigeria followed with a loss of N1.52 to close at N29.07. Flour Mills of Nigeria declined by N1.08 to close at N21.60. Guaranty Trust Bank declined by N1.05 to close at N23.04. Cadbury Nigeria lost N1 to close at N21.90. International Breweries declined by 70 kobo to close at N17.30. Guinness Nigeria dropped by 49 kobo to close at N149.50. Vitafoam Nigeria lost 37 kobo to close at N5.51. PZ Cussons Nigeria dropped by 34 kobo to close at N25.05 while Zenith Bank dipped by 30 kobo to close at N16.30 per share.

Read also: NSE LIVE! Equities negative as Senate unveils ministerial nominees

Most analysts agreed that macroeconomic concerns and corporate performance outlook are two factors modulating the topsy-turvy performance of the stock market.
“As market reaction to the much awaited list of cabinet members continues to wane, we believe the major driver for market performance going forward will be third quarter and full year earnings outlook for each sector,” analysts at Afrinvest Securities stated in post-trading review.
Total turnover stood at 262.23 million shares worth N3.79 billion in 3,030 deals. Banking stocks continued to dominate transactions. Guaranty Trust Bank was the most active stock with a turnover of 75.82 million shares valued at N1.82 billion. Access Bank followed with a turnover of 40.06 million shares valued at N208.97 million while Zenith Bank placed third with a turnover of 30.52 million shares worth N501.91 million.
Meanwhile, Seplat Petroleum Development Company led 14 other contrarian stocks, rising by N4.46 to close at N230. GlaxoSmithKline Consumer Nigeria followed with a gain of N1.76 to close at N36.96. Dangote Cement rose by 50 kobo to close at N167. Unity Bank added 12 kobo to close at N1.54 while Nascon Allied Industries gathered 10 kobo to close at N7.10 per share.

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