By Peter OBIORA InvestAdvocate
Lagos (INVESTADVOCATE)-The Nigerian Stock Exchange (NSE) on Monday opened the week on a negative note as all-share index (ASI) declined 0.37 percent to close at 27,015.97 points, while market capitalisation decreased by N34.74 billion to N9.288 trillion.
“Today’s loss reduced the ASI’s monthly gain to 7.79 percent and extended its YTD loss to 5.68 percent,” Cordros daily market update affirmed.
According to the update, the Banking index depreciated by 2.01 percent driven lower by sell-offs in the shares of Nigeria’s tier one lenders, Access Bank Plc, Zenith Bank Plc, United Bank for Africa Plc and Guaranty Trust Bank all losing 4.67 percent, 4.89 percent, 1.12 percent and 0.89 percent respectively.
Similarly, the Consumer Goods, Insurance and Oil & Gas indices dropped by 0.41 percent, 0.95 percent and 0.09 percent each , following losses in the shares of soap and detergent producer, PZ Cussons Nigeria Plc, insurer, Axa Mansard Insurance Plc and oil marketer, Forte Oil Plc all depreciating by 4.97 percent, 4.74 percent and 0.25 percent apiece.
Cordros reports the Industrial Goods index was flat with no changes in either of the sector’s heavyweights, Dangote Cement Plc and Lafarge Cement Wapco Plc.
At the close of the day’s session, market breadth on the Nigerian bourse was negative, with 14 gainers and 28 losers posted. Lender, Stanbic IBTC emerged the top gainer with a gain of N1.53; while PZ Cussons topped the losers chart with a loss of N1.14 per share.
In terms of turnover, total volume traded on the Nigerian equities market fell by 43.34 percent to 316.74 million shares, valued at N1.91 billion, and traded in 3,924 deals.
“We expect negative sentiments to persist in tomorrow’s session, as market participants remain cautious ahead to tomorrow’s monetary policy pronouncements,” the Cordros update added.
This is coming on the heels of profit taking activities on the domestic bourse to open the week as investors sold positions across board which was buttressed by disappointing Q1’16 economic data (negative GDP growth and rise in unemployment rate) released in the after hours of trading last week’s Friday.
