Economy: Nigeria’s stock market continues losing streak

Nigeria’s stock market continues its losing streak on Wednesday as capitalisation dropped further by N12 billion due to profit-taking on banking stocks.

Specifically, the market, which opened at N19.940 trillion, shed N12 billion or 0.06 per cent to close at N19.928 trillion.

Similarly, the All-Share Index inched lower by 23.08 points or 0.06 per cent to close at 38,233.68 from 38,256.76 on Tuesday.

Accordingly, month-to-date and year-to-date losses increased to 4.0 per cent and 5.1 per cent, respectively.

The market downturn was driven by price depreciation in large, and medium capitalised stocks, including Flour Mills, Zenith Bank, Guaranty Trust Bank, FBN Holdings, and United Bank for Africa.

Analysts at Afrinvest Ltd. said, “We expect the market to remain bearish in the next trading session due to the absence of a positive catalyst.”

However, the market recorded 20 gainers against 14 losers.

John Holt drove the gainers’ chart in percentage terms, gaining 9.68 per cent to close at 68k per share.

Vitafoam followed with 9.19 per cent to close at N1.10, while Lasaco Assurance appreciated by 9.09 per cent to close at N1.56 per share.

C & I Leasing rose by 8.52 per cent to close at N4.84, while Learn Africa appreciated by 7.84 per cent to close at N1.10 per share.

On the other hand, FTN Cocoa Processors dominated the laggards’ chart in percentage terms with 7.32 per cent to close at 38k per share.

NPF Microfinance Bank followed with 5.62 per cent to close at N1.68, while Flour Mills shed 5.25 per cent to close at N27.95 per share.

Japaul Gold and Ventures lost 1.75 per cent to close at 56k, while Wema Bank depreciated by 1.72 per cent to close at 57k per share.

Transactions in the shares of Fidelity Bank topped the activity chart with 24.42 million shares valued at N54.264 million.

Zenith Bank followed with 22.09 million shares worth N508.002 million, while Mutual Benefits Assurance traded 16.94 million shares valued at N6.92 million.

Sovereign Trust Insurance traded 16.86 million shares worth N4.63 million, while Transcorp transacted 13.83 million shares valued at N11.65 million.

In all, the volume of shares declined by 18.83 per cent to 203.09 million shares valued at N1.82 billion exchanged in 3,594 deals.

This was lower compared with 250.20 million shares worth N1.55 billion transacted in 3,534 deals on Tuesday.