The Nigerian equities market ended last week trading on a negative position as the Nigerian Stock Exchange-All Share Index (NSEASI) recorded 1.71 per cent loss week-on-week (WoW).
Analysts at Cowry Asset Management attributed the drop in market performance for the week on renewed profit taking activities and weak demand despite the kickoff of the Pension multi-fund structure during the week.
Consequently, the benchmark index slid 652.96 or 1.71 per cent week-on-week to close at 37,625.59 points, as the year-to-date loss stood at 1.61 per cent. In light of this, investors lost N236 billion as market capitalisation went down to N13.630 trillion.
Sectoral indices augment the All Share Index as all indices closed the week negative save for NSE Insurance which gained 0.53 per cent to close at 151.23points. The NSE Banking index, NSE Consumer Goods Index, NSE Oil/Gas Index and NSE Industrial Index decreased by 0.07 per cent, 3.49 per cent, 2.87 per cent and 2.77 per cent respectively to close at 475.74 points, 895.36 points, 313.95 points respectively.
Investor sentiment as measured by market breadth closed the week negative with 27 gainers compared to 45 losers. Mutual Benefit Assurance recorded the highest price gain of 21.62 per cent, to close at 45 kobo per share. Multiverse Mining and Exploration gained 20 per cent to close at 24 kobo, while Unity Bank appreciated by 14.43 per cent to close at N1.11 per share.
On the other hand, Forte Oil led the losers’ chart by 19.79 per cent, to close at N26.35 per share. Omoluabi Mortgage Bank shed 18.31 per cent to close at 58 kobo, while McNichols depreciated by 17.35 per cent to close at 81 kobo per share.
Meanwhile, a total of 1.84 million shares valued at N16.59 billion in 18,940 deals were traded last week as compared to a total of 2.004 million shares valued at N21.58 billion in 18,533 deals last week.
Outlook For This Week
This week, analysts at Cowry Asset Management expected the local bourse to close flat in the green territory as Pension administrators and other fund managers are expected to take advantage of the lower prices of companies with good fundamentals.
Also, analysts at Cordros Capital said that “in the short to medium term, sideways trading is likely to remain the theme in the absence of a near-term positive trigger. However, macroeconomic fundamentals remain strong and supportive of gains in the long term.”
While APT Securities and Funds Limited advised investors to take advantage of stocks that have shed weight over the week.
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