Downward Trend Continues As NSE Index sheds 37% | Independent Newspapers Limited
Newsletter subscribe

Business

Downward Trend Continues As NSE Index sheds 37%

Posted: Jun 18, 2015 at 12:06 am   /   by   /   comments (0)

By Bamidele Ogunwusi,  Lagos

 

The bears continue to maintain their hold on the equities market as the market went further in the south on Wednesday on the back of speculative trading and uncertainty in the market. The twin indicators, the All-Share Index and Market Capitalisation both went down by 0.37 percent each.

The market’s All Share Index went down by 124.25 basis points or 0.37 percent to close at 33,478.42 points as against 33,602.67 points recorded on Tuesday, while market capitalisation went down by N42.411 billion to close at N11.427 trillion compared with N11.470 trillion recorded in the previous trading day.

Experts say the depreciation in blue chip stocks such as Guinness (-5.3 percent), Zenith Bank (-2.0 percent), Access Bank (-1.7 percent), Dangote Cement (-1.1 percent), Forte Oil (-0.3 percent) and United Bank for Africa (-0.2 percent) dragged the market down.

Despite the bearish mood in the market, the Consumer Goods sector closed positive as it returned +0.1 percent on the back of appreciation in Nigerian Breweries (1.3 percent). On the other hand, decline in heavyweight Dangote Cement weighed down the Industrial Goods sector as it posted -1.0 percent daily returns.

However, at the close of trading on Wednesday, investors bought and sold a total of 204.993 million shares valued at N7.404 billion in 3,700 transactions as against 240.640 million shares valued at N6.678 billion in 3,957 transactions recorded on Tuesday with the financial services sector accounting for a total of 158.563 million shares valued at N2.044 billion in 2,057 deals compared with 175.159 million shares valued at N2.537 billion in 2,076 deals recorded on Tuesday.

In the banking sub-sector, investors also bought and sold a total of 106.527 million shares valued at N1.770 billion in 1,255 transactions as against 142.801 million shares valued at N2.420 billion in 1,352 transactions recorded the previous day.

Breweries’ major, Nigerian Breweries led 21 others on the gainers’ table with a gain of 187 kobo, while its peer- Guinness Nigeria, sat atop the decliners’ table with a loss of 975 kobo.