Nigerian stock market routed into the red zone on Tuesday August 20, 2019 as investors rushed to take profit in MTNN Plc and others.
The All Share Index (ASI) dipped by 0.21percent while the week-to-date (WtD) return still stood positive at 0.50percent.
Stock trading activities on the Nigerian bourse slowed down on Tuesday as volume and value traded depreciated by 16percent and 22percent respectively.
GTBank, Zenith and Nestle accounted for 35percent, 18percent and 16percent of value traded respectively.
The NSE ASI closed at 27,058.62 points as against preceding day’s 27,115.89 points.
Month-to-Date (MtD), the market has declined by 2.38percent; while year-to-date (Ytd) it is down at -13.91percent. The value of listed stocks decreased to N13.186trillion.
MTNN led the losers table on Tuesday after its share price moved from N138.7 to N132.6, losing N6.1 or 4.40percent; followed by Conoil Plc which declined from N17.65 to N16.8, after losing 85kobo or 4.82percent; while PZ Cussons dipped from N6 to N5.5, losing 50kobo or 8.33percent.
Although the market closed in red, all sectoral indices closed in the green and market breadth remained in the positive region for two consecutive trading days indicating positive investor sentiment on the local bourse, said Lagos-based analysts at Vetiva Securities.
Meanwhile, Nestle Nigeria Plc advanced from N1, 113.9 to N1, 121.2 adding N7.3 or 0.66percent; followed by Dangote Cement Plc which rallied from N164.5 to N166, after adding N1.5 or 0.91percent; while Berger Paints Plc advanced from N6.85 to N7.5, adding 65kobo or 9.49percent.
In 3,743 deals, equities dealers exchanged 209,620,775 units valued at N3.236billion. With most counters trading at their lowest points in 52 weeks, the analysts expect investors to take advantage and continue to position.
“However the direction of the ASI remains positively correlated with movement of market heavyweights (DANGCEM and MTNN), hence trades on them is expected to continue to impact the ASI,” Vetiva added.
Iheanyi Nwachukwu
