Sell pressure forces market index down by N27 billion

By Helen Oji | 25 July 2019 | 3:15 am

Nigeria Stock Exchange (NSE). Photo/rainbowfm

Bullish run experienced Tuesday in the local bourse was halted yesterday, as sell pressure dragged down prices in most bluechip stocks, causing market capitalisation to plunge by N27 billion.

Specifically, at the close of transactions Wednesday, the All Share Index (ASI) also fell by 56.13 points or 0.20 per cent to 28,088.74 points.

Accordingly, investors lost N27 billion in value as market capitalisation declined to N13.689 trillion.

The downturn was impacted by losses recorded in medium and large capitalised stocks, amongst which were; Nestle Nigeria, Dangote Cement, Total Nigeria, Lafarge Africa, and UAC of Nigeria (UACN).

Analysts at Afrinvest Limited, said: “We expect the bearish performance to continue this week as sell pressures dominate activities.”

Also, analysts at Cordros Capital Limited, said: “Our outlook for equities in the short to medium term remains conservative, in the absence of any catalysts to drive positive market returns.”

Market breadth closed at par with 16 gainers and 16 losers. Japaul Oil & Maritime Services recorded the highest price gain of 10 per cent to close at 22 kobo per share.

BOC Gases Nigeria followed with 9.98 per cent to close at N5.07, while C&I Leasing gained 9.89 per cent to close at N5, per share.

Seplat Petroleum Development Company (Seplat) rose 9.38 per cent to close at N525, and Consolidated Hallmark Insurance 7.14 per cent to close at 30 kobo, per share.

On the other hand, Unity Bank led the losers’ chart with 9.38 per cent to close at 58 kobo per share. Prestige Assurance followed with 6.25 per cent to close at 45 kobo, while Sovereign Trust Insurance fell 4.76 to close at 20 kobo, per share.

Jaiz Bank lost 4.55 percent to close at 42 kobo, while UACN shed 4.24 per cent to close at N5.65, per share.

The total volume traded rose by 16.72 percent to 157.79 million shares worth N2.52 billion, traded in 3,253 deals. Transactions in the shares of Guaranty Trust Bank topped the activity chart with 33.59 million shares valued at N971.44 million.

United Bank for Africa (UBA) followed with 30.73 million shares worth N173.49 million, while Zenith Bank traded 22.89 million shares at N428.16 million.

Sterling Bank traded 11.44 million shares valued at N26.05 million, while Transnational Corporation of Nigeria (Transcorp) transacted 9.34 million shares worth N9.41 million.

Sell pressure forces market index down by N27 billion

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