By Peter Egwuatu
The Nigerian stock market opened the week , Monday on a bearish note as investors lost N161.7billion while Year to Date , YtD loss worsened to -10.5 percent.
Specifically, the Nigerian Stock Exchange, NSE All Share Index, ASI declined 127 bases points, bps due to sell-offs in BUA Cement (-5.0%), NESTLE (-6.6%) and AIRTELAF (-3.5%) to close at 24,109.65 points, while NSE market capitalisation declined to N12.5 trillion.
Activity level was positive as volume and value traded increased by 33.5% and 90.1% to 189.7million units and N2.8 billion respectively. The most active stocks by volume were Guaranty Trust Bank (60.5million units), Access Bank (25.3 million units) and UBA (8.8million units) while Guaranty Trust Bank (N1.3 billion), Nestle Nigeria (N374.1million) and Seplat Petroleum (N168.9 million) led by value.
Meanwhile, performance across sectors was bearish as four indices lost. The Consumer and Industrial Goods indices recorded the worst performance, shedding 3.2% and 2.4% respectively owing to sell-pressures in Nestle (-6.5%), BUA Cement (-5.0%) and Dangote Cement (-0.4%).
Similarly, losses in Airtel Africa (-3.5%) and Oando (-0.4%) saw the AFR-ICT and Oil & Gas indices weaken by 1.6% and 4bps respectively. On the flip side, the Banking and Insurance indices posted gains, advancing 1.5% and 1.1% respectively following bargain hunting in Zenith Bank (+5.3%), Guaranty Trust Bank (+1.0%), Cornerstone (+10.0%) and AIICO Insurance (+4.7%).
Investor sentiment as measured by market breadth rose as 14 stocks advanced against the 17 that declined. The top gainers were NAHCO (+10.0%), Cornerstone Insurance (+10.0%) and Zenith Bank (+5.2%) while BETA Glass (-9.9%), Julius Berger (-9.8%) and Livestock (-9.7%) were the top decliners.
Reacting on the market development analysts at Afrinvest Securities said : “We expect bargain hunting to drive gains in the next trading session.”