Bears strengthen hold on equities as index plunges further by 0.02%

The equities market continued on the decline at the end of transactions yesterday, as more blue-chip firms joined the league of losers, causing the All Share Index (ASI) to plummet further by 0.02 per cent.

Yesterday, the ASI decreased by 5.74 absolute points, representing a dip of 0.02 per cent to close at 26,938.58 points. Similarly, the market capitalisation lost N3 billion to close at N13.002 trillion.

The downturn was impacted by losses recorded in medium and large capitalised stocks, amongst which are; Sterling Bank, United Bank for Africa (UBA), Zenith Bank, Oando and Nigerian Aviation Handling Company (NAHCO).

Analysts at Afrinvest Limited said: “Despite strong investors’ sentiment due to renewed interest in the local bourse, we expect profit-taking activities to persist following four consecutive weeks of price appreciation.”

However, market breadth closed positive, with 16 gainers versus 13 losers. Japaul Oil and Maritime Services recorded the highest price gain of 10 per cent, to close at 22 kobo, per share.

May & Baker Nigeria followed with a gain 9.74 per cent to close at N2.14, while NEM Insurance rose by 5.26 per cent to close at N2.00, per share.

Courteville Business Solutions went up by 3.85 per cent to close at 27 kobo, while Cutix appreciated by 3.50 per cent to close at N1.48, per share.

On the other hand, Sterling Bank led the losers’ chart by 6.34 per cent, to close at N1.92, per share. Chams followed with a decline of 5.71 per cent to close at 33 kobo, while FCMB Group went down by 3.23 to close at N1.80, per share.

NAHCO lost 2.80 per cent to close at N2.43, while Honeywell Flour Mills shed 2.73 per cent to close at N1.07, per share.

The total volume traded declined by 40.3 per cent to 112.89 million shares, worth N1.08 billion, and traded in 3,041 deals. Transactions in the shares of Zenith Bank topped the activity chart with 15.86 million shares valued at N296.86 million.

FCMB Groups followed with 15.17 million shares worth N26.99 million, while UBA traded 12.96 million shares valued at N90.66 million.

Fidelity Bank traded 7.45 million shares valued at N14.98 million, while Guaranty Trust Bank transacted 6.09 million shares worth N183.97 million.

Meanwhile, the Nigerian Stock Exchange (NSE) has underscored the critical role of the capital market in delivering sustainable socio-economic growth and development in Nigeria.

Speaking at the at an award ceremony of the 19th NSE essay competition for Senior Secondary Schools in Nigeria held in Lagos yesterday, the Chief Executive Officer of the NSE, Oscar Onyema, emphasized the need to leverage the capital market for the achievement of the Sustainable Development Goals (SDGs).

“We need to connect people with products and services that build human and physical capital, as well as bridge infrastructural gaps in Nigeria.

“We have also identified the critical role of millennials in achieving these outcomes evidenced by the overwhelming interest today’s youth have shown in this exercise.

“We were not only delighted by the thousands of entries we received this year – up over 100% from last year – but also impressed by the quality of progressive solutions articulated in the submissions, some of which will be presented today,” Onyema added.

Also speaking at the event, the Chief Executive Officer, Vetiva Capital Management Limited and President of the Association of Issuing Houses of Nigeria (AIHN) urged the students to develop strong savings and investment culture.

He awarded N250,000, N150,000 and N100,000 worth of money market investments to the 1st, 2nd and 3rd place winners respectively on behalf of the Association of Issuing Houses of Nigeria (AIHN) and Vetiva Capital.

The Managing Director of the Education Partnership Centre, Mrs. Modupe Adefeso-Olateju in her keynote address advised the students to develop a range of skills to ensure a sustainable future in light of the ever-evolving society.

She also emphasized education, financial responsibility, and integrity as important virtues to imbibe.