Equities market extends losing streak as index dips 0.38%
The Nigerian equities market extended its current losing streak to the fifth consecutive trading session, yesterday, as sell-offs in 22 stocks dragged the index further by 0.38 per cent.
At the close of transactions Wednesday, at the Nigerian Stock Exchange (NSE), the All-Share Index (ASI) fell by 95.01 absolute points or 0.38 per cent to close at 24,655.05 points. Similarly, the overall market capitalisation shed N49 billion to close at N12.862 trillion.
The downturn was impacted by losses recorded in large and medium value stocks, amongst which were; Seplat Petroleum Development Company, Guinness Nigeria, Nigerian Breweries, GlaxoSmithKline Consumer Nigeria, and PZ Cussons Nigeria
Analysts at Afrinvest Limited, said: “Following three consecutive days of sustained profit-taking by investors this week, we do not rule out the possibility of some bargain-hunting in subsequent trading sessions.”
The Chief Research Officer at Investdata Consulting Limited, Ambrose Omodion, said: “Amidst the indecision and unwillingness by traders to buy at this current market value, the bearish wave will persist on pullbacks, creating new entering positions.
“This is as the money flow index continues its downward slant, revealing the exit of smart money, despite flowing from one sector to another seeking value in terms of low prices with high upside potentials.
“Also, sectors that had suffered oversold so far, offer attractive risk-reward buy-opportunities and outlook for considerable short, medium and long term investment. For immediate liquidity or cash let us trade low priced stocks with serious caution to avoid being trapped,” he added.
Market sentiment, as measured by market breadth, was negative, as 17 tickers gained, relative to 22 losers. Chams recorded the highest price gain of 9.52 per cent to close at 23 kobo per share.
Champion Breweries followed with 7.95 per cent to close at 95 kobo, and Unity Bank rose 7.41 per cent to close at 58 kobo, per share.
Aiico Insurance edged up 6.67 per cent to close at 96 kobo, and Nigerian Aviation Handling Company (NAHCO) added 5.98 per cent to close at N2.66 per share.
On the other hand, PZ Cussons Nigeria led the losers’ chart by 10 per cent to close at N4.05 per share.
SEPLAT followed with 9.98 per cent to close at N386, and International Breweries slipped 9.89 per cent to close at N4.10, per share.
Arbico Plc lost 9.57 per cent to close at N1.89, while Neimeth International Pharmaceuticals shed 9.52 per cent to close at N1.14, per share.
However, the total volume of trade rose by 12.68 per cent to 189.253 million units valued at N1.917 billion, exchanged in 3,364 deals.
Transactions in the shares of FBN Holdings topped the activity chart with 44.445 million shares at N241.095 million.
Zenith Bank followed with 21.346 million shares worth N349.375 million, while Access Bank traded 18.872 million shares valued at N124.612 million.
Japaul Oil & Maritime Services traded 10.838 million shares at N2.643 million, and United Bank for Africa (UBA) transacted 9.693 million shares worth N61.079 million.