Equities Open Week In Red, NSE Index Sheds 0.18 | Independent Newspapers Limited
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Equities Open Week In Red, NSE Index Sheds 0.18

money markets; NSE Index
Posted: Sep 6, 2016 at 7:00 am   /   by   /   comments (0)

Bamidele Ogunwusi



Trading on the floor of The Nigerian Stock Exchange (NSE) opened the week in red on Monday when the overall performance measures, the All Share Index and Market Capitalisation, went down by 0.18 percent each.

The All Share Index depreciated by 49.55 basis points or 0.18 percent to close at 27,707.12 points as against 27,756.67 points recorded on Friday, while Market capitalisation closed at N9.517 trillion after it shed N17.021 billion as against N9.534 trillion recorded the previous trading day.

The value traded also fell by 53.4 percent to settle at N1.6 billion, just as the volume traded decreased by 37.0 percent to 195.0 million units. Market breadth edged lower to 0.8x (previously 1.8x) as 13 stocks appreciated against 17 decliners.

Breweries’ major, Guinness Nigeria, led the gainers’ table when it added 85 kobo to close at N95.50 per share, followed by Chemical and Allied Products, which grabbed 43 kobo to close at N32.00 per share.

United Bank for Africa appreciated by 16 kobo to close at N4.50 per share; Zenith Bank added 15 kobo to close at N14.95 per share, while Nigerian Aviation Handling Company nicked 10 kobo to close at N3.50 per share, among others.

Building materials’ major player, Dangote Cement, led the decliners’ table with a loss of 101 kobo to close at N175.00 per share, followed by Nigerian Breweries which dropped 100 kobo to close at N140 .00 per share.

PZ Cussons Nigeria depreciated by 93 kobo to close at N17.77 per share; International Breweries shed 76 kobo to close at N19.00 per share while United Capital dropped 10 kobo to close trading at N2.19 per share, among others.

At the close of trading on Monday, the financial services sector posted a positive daily return of 0.5 percent on account of gains recorded in Diamond Bank (+4.5%), UBA (+3.7%) and Sterling Bank (+2.0%).

Similarly, the Oil and Gas sector closed the day higher with a gain of 0.2 percent as a result of bargain hunting in Oando (+2.1%).

On the flip side, the Consumer Goods sector trailed with a negative daily return of 0.7 per cent underscored by price depreciation in the likes of PZ Cussons  (-5.0%), International Breweries (-3.9%) and Nigerian Breweries (-0.7%), just as the Industrial Goods sector posted a loss of 0.5 per cent on the back of sell-offs seen in Dangote Cement (-0.6%).

FBN Holdings emerged the most traded equity on Monday with an exchange of 53.802 million shares worth N169.511 million. It was trailed by Guaranty Trust Bank having accounted for 23.543 million shares valued at N635.671 million.

Diamond Bank sold 19.388 million shares worth N22.415 million and United Bank for Africa exchanged 16.945 million shares valued at N74.443 million.

First City Monument Bank traded 16.649 million shares worth N18.841 million.

The bearish turn seen in equities on Monday, according to analysts at United Capital, can be attributed to profit booking in certain key sectors that saw some gains in the past week, most especially the Consumer and the Industrial Goods sectors.

“In our view, we expect sentiment in the near term to be shaped by considerations around current domestic macro fundamentals as investors remain cautious,” they said.