Negative sentiments resurface on NGX as losses drag index by 0.09%

Bearish sentiments resurfaced on the equities sector of the Nigerian Exchange Limited (NGX) yesterday, as losses in MTN Nigeria Communications (MTNN) and Chemical Allied Products (CAP) dragged the All-Share Index by 0.09 per cent.

In summary, the All-Share Index (ASI) declined by 45.54 absolute points, representing a drop of 0.09 per cent, to close at 48,853.54 points. Similarly, the overall market capitalisation value shed N25 billion to close at N26.609 trillion.

The market loss was driven by price depreciation in large and medium capitalised stocks amongst which are; MTN Nigeria Communications (MTNN), Chemical Allied Products (CAP), Stanbic IBTC Holdings, Africa Prudential and Union Bank of Nigeria (UBN).

Analysts at Vetiva Dealings and Brokerage note: “We foresee a similar trade pattern in the market tomorrow, with the banking stocks dominating activity, while investors cherry pick on counters that have declined in recent sessions.”

Investor sentiment as measured by market breadth closed negative, as 13 stocks advanced, while 16 declined. Smart Products Nigeria recorded the highest price gain of 10 per cent to close at 22 kobo, per share.

Cornerstone Insurance followed with a gain of 8.70 per cent to close at 50 kobo, while BUA Cement went up by 3.60 per cent to close at N95.00, per share.

FTN Cocoa processors rose by 3.23 per cent to close at 32 kobo, while Zenith Bank gained 2.45 per cent to close at N23.00, per share. On the other hand, SCOA Nigeria led the losers’ chart by 9.30 per cent to close at 78 kobo, per share.

Chams followed with a decline of 8.70 per cent to close at 21 kobo, while Jaiz Bank lost 8.42 per cent to close at 87 kobo, per share.

Lasaco Assurance lost 6.67 per cent to close at 84 kobo, while University Press shed 5.46 per cent to close at N1.73, per share.

Meanwhile, the total volume of trades declined by 31.11 per cent to 162.978 million units, valued at N3.875 billion, and exchanged in 3,286 deals.

Transactions in the shares of Sterling Bank topped the activity chart with 31.611 million shares valued at N43.025 million. Guaranty Trust Holding Company (GTCO) followed with 19.208 million shares worth N403.288 million, while Chams traded 16.425 million shares valued at N3.505 million.

Zenith Bank traded 14.187 million shares valued at N323.616 million, while MTNN transacted 12.453 million shares worth N2.596 billion.