Low activity in large cap names on the Nigerian Bourse continues to determine the direction of the market. The latest being negative close seen on Wednesday August 7.
At the sound of trade closing gong, the Nigerian Stock Exchange (NSE) All Share Index (ASI) decreased further by 0.42percent. The market’s Year-to-Date (Ytd) negative return printed at -12.78percent. With the dearth of market catalysts, analysts do not see any respite for the bourse Thursday.
The All Share Index decreased from preceding day high of 27,527.40 points to 27,412.13 points, while Market Capitalisation decreased from N13.415 trillion to N13.358trillion, which implies N57billion loss.
The stock market activity measured by volume and value traded dropped by 25percent and 48percent respectively with MTNN accounting for 33percent of turnover.
On the losers table, MTN Nigeria Communications Plc declined most, from N128 to N127, after losing N1 or 0.78percent, Lafarge Africa Plc followed, from N14.5 to N14.3, losing 2kobo or 1.38percent, while Continental Reinsurance Plc declined from N1.55 to N1.4, losing 15kobo or 9.68percent.
The shares of Conoil Plc increased most from by N1.05 or 6.33percent, from N16.6 to N17.65; also, Dangote Flourmills Plc followed after rising from N20 to N20.3, adding 30kobo or 1.50percent. Also, FCMB Group Plc advanced from N1.6 to N1.72, adding 12kobo or 7.50percent.
“Most of the stocks on the premium board and main board of the Exchange are trading at year-lows, thus, we do not rule out the possibility of bargain hunting across some of the fundamentally sound counters”, according to market analysts at Lagos-based Vetiva in their August 7 note.
FBN Holdings Plc, Transcorp Plc, FCMB Plc, Lafarge Africa Plc, and Zenith Bank Plc were actively traded stocks. In 699 deals, stock investors exchanged 39,422,265 units valued at N212.757million.
