By Nkiruka Nnorom

Investment analysts have said that the bulls may resurface 

this week after two consecutive weeks of downturn given the moderation in the share prices of some blue chip companies.

They opined that there could also be an intermittent profit taking, even as the local bourse  closed the week with losses to investors amounting to N782 billion.  

READ ALSONigerian stock market resumes week with N54bn loss

According to analysts at Cordros Capital,  a Lagos-based investment banking firm, “A choppy theme will  be the overarching theme in the local bourse as investors continue to watch out for clues on the direction of yields in the Fixed Income (FI) market.  

“Following the moderation in the share prices of bellwether stocks, we expect the bulls to make a re-entry in dividend-paying stocks ahead of half year 2021 (H1-2021) dividend declarations, which intermittent profit-taking activities would match.”

Also,  analysts at Cowry Asset Management, said: “This week,  we expect the local stock market to rise as investors hunt for bargain on stocks of companies likely to make interim dividend payment.”

Meanwhile, the bears continued to dictate fortunes in the equities market as the market suffered its second consecutive weekly loss.  

The market recorded losses in four of the week’s trading sessions, resulting in 2.6 percent decline in the All Share Index (ASI).

Consequently, the benchmark index closed at 37,658.26 points from 38,648.91 points.

Sell-offs in Airtel Africa Plc (-8.6%), Dangote Cement Plc (-3.9%), BUA Cement Plc (-3.4%) and MTN Communication Nigeria Plc (-1.2%) dragged the indices lower.  

The market capitalisation of all listed equities fell by 3.83 percent to close at N19.627 trillion from N20.409 trillion in the previous week.

However,  the sectoral performance was mixed with three of the five sectors recording price appreciation while two depreciated.  The Banking, Consumer Goods, and Oil and Gas sectors advanced marginally by  0.9 percent, 0.6 percent and 0.1 percent, respectively.

On the other hand, the industrial goods and the insurance sector declined by 3.3 percent and 0.8 percent respectively.