Nigerian equities continued on their losing streak as investors appeared to overlook new audited reports and accounts, dividend recommendations and prospects of interim dividends by many large-cap commercial banks.
For the third consecutive trading session, benchmark indices at the Nigerian Stock Exchange (NSE) closed negative.
The All Share Index (ASI)- the benchmark index that tracks share prices at the Exchange, declined by 0.07 per cent to close at 29,375.25 points as against its opening index of 29,395.14 points. Aggregate market value of all quoted equities dropped from its opening value of N12.957 trillion to close at N12.948 trillion, representing a drop of N9 billion. The continuing decline depressed the average year-to-date return to -6.54 per cent.
With 23 decliners to 16 advancers, the negative market situation was due to widespread selloffs, especially within the low-cap stocks. However, large-cap stocks lifted sectoral performances. The NSE Oil & Gas Index dropped by 0.7 per cent while the NSE Banking Index trailed with a drop of 0.6 per cent. Meanwhile, most sectoral indices closed on the upside. The NSE Industrial Goods Index rose by 1.7 per cent while the NSE Insurance Index and NSE Consumer Goods Index appreciated by 0.5 per cent each.
Mobil Oil Nigeria Plc, now 11 Plc, led the losers with a loss of N17 to close at N158. Dangote Cement followed with a drop of N2.90 to close at N177. Okomu Oil Palm and Total Nigeria declined by N2 to close at N62 and N148 respectively. Julius Berger Nigeria dropped by N1.95 to close at N19.95. Fidson Healthcare declined by 50 kobo to close at N4.55 while UAC of Nigeria lost 45 kobo to close at N6.10 per share.
On the upside, Unilever Nigeria led the gainers with a gain of N1.30 to close at N32. Lafarge Africa rose by 75 kobo to close at N13.25. Cement Company of Northern Nigeria added 50 kobo to close at N14.50. BOC Gases and C & I Leasing chalked up 41 kobo each to close at N4.54 and N5.50 respectively while Dangote Sugar Refinery and Oando added 30 kobo each to close at N11 and N3.95 respectively.
โMarket performance was bearish and we expect this to be sustained in subsequent sessions as investor sentiment stays soft. However, we do not rule out the possibility of some end of the week bargain hunting as investors take advantage of attractive market prices,โ Afrinvest Securities stated.
Total turnover stood at 237.71 million shares valued at N1.98 billion in 4,113 deals. Morison Industries was the most active stock with a turnover of 44.54 million shares worth N24.05 million. United Bank for Africa followed with 34.12 million shares valued at N209.6 million while Sterling Bank placed third with 32.09 million shares worth N72.11 million.
Analysts at Cordros Capital reiterated their conservative outlook for equities in the short to medium term citing โthe absence of any drivers of market returnsโ.
