August 2, 2016/InvestmentOne Research
- he Nigerian equities market fell -0.04% to 27,831.95pts despite rising +0.59% during intraday. The NSE ASI performance was driven by negative sentiments towards NESTLE (-49pts), WAPCO (-41pts), FO (-30pts), SEPLAT (-24pts) and ETI (-21pts) which offset the increased demand for DANGCEM (+148pts).
- All major sectors closed negative with the Oil & Gas the worst performer, falling -1.87% on the back of declines in SEPLAT (-5.00%) and FO (-4.46%). Industrial goods lost -1.04% while the Consumer Goods and Banking Sectors closed down -0.88% and -0.13% respectively.
- FCMB (-5.67%) was led the 26 stocks that decline while OANDO (+10.06%) was the market best performer of the 17 stocks that gained. Consequently market breadth index was negative for the fourth consecutive day at -0.09x.
- Market activity fell today as investors exchanged c.276million unit of shares worth N3.15bn, representing a -17% and 34% decline total volume and total value respectively.
- In the immediate, we believe our expectation of less inspiring Q2 results and the attractive yields in the fixed income market may be a drag on the market’s performance.
- However, over the medium to longer term, we are positive given the recent traction in both fiscal and monetary policies. As such, we advise investors with a medium to longer term horizon to gradually build positions in quality names.
Click here to view daily markets report Tuesday, August 2, 2016/InvestmentOne Research
