March 11, 2019
By Paschal Ijeh InvestAdvocate
Lagos (INVESTADVOCATE)-The Nigerian equities market on Monday opened the week on a negative note as the benchmark index lost 0.90 percent to close at 31,636.66 basis points compared to -0.27 lost recorded previously, bringing Year-to-Date (YTD) returns to a positive +0.66 percent.
InvestmentOne update reports that market breadth index was negative with 15 gainers compared to 21 losers.
The report says food and beverage producer, Cadbury Nigeria Plc with a gain of +10.00 percent emerged the topmost gainer, while insurer, Cornerstone Insurance Plc with a loss of -8.70 percent led the losers’ chart.
According to InvestmentOne, FBN Holdings Plc with a gain of +1.23 percent was the most actively traded stock with about 33 million units of shares worth N278 million.
In terms of sector performance, the update says the Nigerian Stock Exchange (NSE) Banking index declined by 2.87 percent, on the back of the sell-offs in the shares of lenders, Sterling Bank Plc and Jaiz Bank Plc; both depreciated -8.51 percent and -3.33 percent each, First City Monument Bank and Union Bank of Nigeria Plc declined -1.89 percent and -1.43 percent apiece, while Fidelity Bank Plc and Africa’s global bank, United Bank for Africa Plc lost -1.30 percent and -0.65 percent respectively.
In the same vein, the NSE Consumer Goods index closed down by 0.68 percent, driven by the losses in the shares of food and beverage maker, Nestle Nigeria Plc and Dangote Flour Mills Plc; both dropped -1.99 percent and -1.44 percent each, while beer manufacturer, International Breweries Plc lost by -1.11 percent.
Still on the losing streak is the NSE Industrial index which depreciated by 0.44 percent, largely due to the decline in the shares of cement manufacturer, Lafarge Cement Wapco Nigeria Plc by -3.47 percent.
On the flip-side, the NSE Oil & Gas index inched up 0.01 percent, following the advance in the shares of Mobil Nigeria Plc which gained marginally by +0.06 percent.
“The equities market closed down today following the losses across most sectors. Despite the recent recovery in the equities market, we believe prices are still at decent levels for investors with medium to long term horizon. Furthermore, with the conclusion of the 2019 elections, we expect uncertainties associated with political risk to dwindle. This may improve investor sentiment towards the Nigerian equities market,” the InvestmentOne update added.
