The market capitalisation of listed equities on the Nigerian Stock Exchange, on Tuesday, fell by N7bn at the close of trading activities.
The day’s business had opened with N6.428tn market capitalisation. The figure, however, dropped to N6.421tn at the close of trading, representing a 0.11 per cent decrease.
Similarly, the NSE All Share Index depreciated by 21.96 basis points or 0.11 per cent, to close at 20,404.23 points. The market had opened with an ASI of 20,426.19 points.
The fall in the ASI and market capitalisation came a day after market analysts expressed hopes that the market was picking up. Their optimism followed the rise in some market indices recorded the preceding day.
At a session organised by the NSE in Lagos, the analysts had described Monday’s marginal increase in ASI as a welcome development. They explained that though investor confidence in the market was declining fast and there were doubts about the quick recovery of equities, the development on Monday after about four days of consecutive lull, indicated that the market still had chances of bouncing back.
This position was contrary to some stockbrokers’ earlier argument that the market would not regain stability this year. They had said that activities could only gather momentum next year when investors, among other things, would have been able to adjust to the high Monetary Policy Rate, recently declared by the Central Bank of Nigeria.
Two market indicators recorded marginal appreciation, as two others dropped points. However, one maintained the same figure recorded the preceding day.
The NSE Food/Beverage and NSE Insurance indices increased by 4.61 and 1.46 basis points to close at 570.54 and 152.62 points, respectively. The NSE 30 and NSE Banking decreased by 0.24 and 0.66 points to close at 911.62 and 289.94 points, respectively, while the NSE Oil/Gas maintained the 244.23 points recorded on Monday.
The banking sub-sector maintained its lead on the activity chart, as it recorded high volume at the close of business. Investors in the banking sub-sector exchanged 161.699 million shares, valued at N1.525bn in 1,789 deals.
Trading in the shares of Guaranty Trust Bank Plc, United Bank for Africa Plc and First Bank of Nigeria Plc drove activities in the banking sub-sector on Tuesday. A total of 14 stocks recorded price appreciation, while 17 recorded losses.
Okomu Oil Plc led the price gainers, moving up by 4.98 per cent or N1.11 to close N23.41 per share.
On the other hand, Dangote Sugar Plc led the price losers, shedding 4.91 per cent or 0.24k to close at N4.65k per share.
Source: Punch/Okechukwu Nnodim
