By Ademola Alawiye

Monday, 29 Nov 2010

Equities’ prices at the Nigerian Stock Exchange last week dipped following the decision of the Monetary Policy Committee to leave the monetary policy rate at 6.25 per cent.

The NSE‘s All Share Index depreciated by 1.4 per cent or 348.39 points to close at 24,611.56 points, while the market capitalisation of the 200 first-tier equities dropped to N7.86tn.

The NSE-30 Index fell by 1.73 per cent or 18.65 points to close at 1,058.10 points. Only one of the four sectoral indices rose in the period under review.

The NSE Banking Index fell by 1.92 per cent or 7.56 points to close at 161.95 points, while the NSE Insurance Index depreciated by 1.11 per cent or 1.84 points to close at 161.95 points.

The NSE Food and Beverages Index also fell by 0.75 per cent or 6.26 points to close at 797.30 points. However, the Oil and Gas Index appreciated by 1.2 per cent or 3.93 points to close at 343.41 points.

Meanwhile, a turnover of 1.61bn shares worth N13.50bn in 28,935 deals was recorded last week, as against one billion shares, valued at N9.98bn exchanged the previous week in 19,493 deals.

The banking sub-sector was the most active during the week, with 1.11 billion shares, worth N8.42bn in 16,897 transactions. Trading in the shares of Zenith Bank Plc, First Bank of Nigeria Plc, Skye Bank Plc, Oceanic Bank International Plc, Guaranty Trust Bank Plc and Bank PHB Plc.

At the Over-the-Counter market for FGN Bonds, a turnover of 210.84 million units worth N174.22bn in 1,445 deals was recorded last week, compared to a total of 88.7 million units, valued at N74.68bn exchanged in 700 deals.

The most active bond, measured by turnover, was the 10 per cent FGN July 2030, with a traded volume of 78.4 million units, valued at N59.51bn in 561 deals.

The MPC of the Central Bank of Nigeria had met last week to review domestic and international economic and financial conditions in order to reassess options for monetary policy for the rest of 2010 and beyond.

The Governor, Central Bank of Nigeria, Mr. Lamido Sanusi, had said after the meeting that all members agreed that there was the need for tightening but the discussions centered on the form and timing of the tightening.”

 

Source: Punch