Depreciation in bellwethers reverses market gains
Following profit taking on some bellwethers, the Nigerian Stock Exchange (NSE) reversed previous days’ gaining streak to close yesterday on a downturn, causing the All-Share Index (ASI) to lose 0.05 per cent.
Specifically, at the close of trading, Thursday, the ASI lost 13.59 absolute points or 0.05 per cent to close at 27,864.84 points. But the overall market capitalisation gained N7 billion to close at N14.513 trillion
The downturn was impacted by losses recorded in medium and large value stocks, amongst which were; MTN Nigeria, NEM Insurance, UAC of Nigeria (UACN), Law Union and Rock Insurance, and Zenith Bank.
Analysts at Afrinvest Limited, said: “We expect the bearish sentiment to persist for the rest of the week. However, we note that there are opportunities for bargain hunting.”
Market breadth closed negative, with 13 gainers versus 15 losers. United Capital recorded the highest price gain of 10 per cent to close at N2.86 per share.
Learn Africa followed with 9.73 per cent to close at N1.24, and Wapic Insurance gained 9.09 per cent to close 36 kobo, per share.
Livestock Feeds rose 8.33 per cent to close at 65 kobo, while Guaranty Trust Bank climbed 6.83 per cent to close at N30.85, per share.
On the other hand, Law Union and Rock Insurance led the losers’ chart by 9.84 per cent to close at N1.10 per share.
Japaul Oil and Maritime Services followed with 8.33 per cent to close at 22 kobo, and NEM Insurance fell 7.27 per cent to close at N2.04, per share.
Aiico Insurance lost 5.88 to close at 80 kobo, while Jaiz Bank shed 4.55 per cent to close at 63 kobo, per share.
Similarly, the total volume of trades fell 1.10 per cent to 150.7 million units valued at NGN2.8 billion, exchanged in 3,198 deals.
Transactions in the shares of Zenith Bank topped the activity chart with 25.41 million shares valued at N502.43 million.
Flour Mill of Nigeria followed with 25.06 million shares worth N574.52 million, and United Capital traded 21.78 million shares at N59.04 million.
United Bank for Africa (UBA) traded 10.91 million shares valued at N84.53 million, while MTN Nigeria transacted 6.85 million shares worth N792.58 million.
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