Stock market reopens bearish as index dips by N289 billion

Following losses recorded by most bluechip stocks, especially Dangote Sugar Refinery and Transcorp Power, trading on the Nigerian Exchange Limited closed on a downward note yesterday as market capitalisation declined by N289 billion.

Yesterday, market capitalisation of listed equities declined by 0.49 per cent to close at N58.879 trillion from N59.168 trillion reported the previous day.

The all share index also depreciated by 511.02 basis points to 104136.35 points from 104647.37 points traded on Friday with 30 losers against 20 gainers.

On the price movement chart, EllaLakes led the gainers chart, adding 10 per cent to close at N3.63 kobo, Morison industry followed with a gain of 9.93 per cent to close at N1.55 kobo, SUNU Assurance gained 9.48 per cent to close at N1.27 kobo, Caverton Business Solutions added 9.37 per cent to close at N1.75 kobo, Sovereign Trust insurance gained 9.09 per cent to close at 48 kobo. ABC Transport appreciated by 8.97 per cent to close at 85 kobo. Tantalizers gained 8.11 per cent to close at 40 kobo. UPDC Reits garnered 7.04 per cent to close at N1.52 kobo. Royal Express also added 7.04 per cent to close at 76 kobo.

On the other hand, International General Insurance and Dangote Sugar topped losers chart, dropping by 10 per cent each to close at N1.35 kobo and N53.10 kobo respectively. Jaiz Bank trailed with a loss of 9.92 per cent to close at N2.18 kobo, Ikeja Hotel dipped by 9.72 per cent to close at N5.85 kobo, Deap Capital down by 9.52 per cent to close at 57 kobo.

The Initiates Plc shed 9.28 per cent to close at N2.15 kobo. TransNational Corporation of Nigeria lost 8.41 per cent to close at N14.15 kobo. Unity Bank depreciated by 7.58 per cent to close at N1.95 kobo. EcoBank TransNational Incorporated dropped 7.31 kobo to close at N24.10 kobo. Omatek also depreciated by five per cent to close at 76 kobo.

Analysts at Afrinvest Research said: “Investor sentiment as measured by market breadth, worsened to -0.14x from 0.27x in the session as 20 stocks advanced while 30 declined. Tomorrow, we anticipate further bearish performance on the bourse due to weakend investor sentiment.”

Volume of transactions also declined by 198.366 million, representing 39.27 per cent as investors traded 306.821 million shares valued at N11.383 billion in 9343 deals against 505.187 million shares worth N14.235 billion exchanged hands the previous day in 9574 deals.

Trading for the day showed that NDIF led market activities with 35.547 million shares valued at N4.523 billion, Jaiz Bank followed with account of 23.155 million shares cost N52.573 million.

United Bank for Africa exchanged 19.539 million shares cost N519.285 million, Nigerian Breweries traded 17.434 million shares worth N499.183 million while AccessCorp sold a total.of 15.284 million shares cost N363.869 million.