Stocks seen yielding to sell pressure

Nigeria stock market is gradually responding to sell pressure as evidenced in Thursday’s trading session of negative close (-0.48percent). Investors lost about N120billion at the close of trading session on the Nigerian Exchange Limited (NGX).

Equities that helped fuel the southward movement on the Bourse include UAC of Nigeria Plc which led the top decliners after its share price moved from preceding day high of N11.35 to N10.50, losing 85kobo or 7.49percent; followed by Ecobank Transnational Incorporated which decreased from N12 to N11.65, down by 35kobo or 2.92percent.

Transcorp Hotels also decreased from N5.31 to N4.95, losing 36kobo or 6.78percent; while UPDC REIT dropped from a high of N3.40 to N3.30, losing 10kobo or 2.94percent.

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Equities market’s year-to-date (YtD) positive return decreased further on Thursday to 8.96percent. The Nigerian Exchange Limited (NGX) All Share Index (ASI) decreased from 46,766.16 points to 46,543.51point while the value of listed stocks on the Exchange decreased by N120billion from N25.212trillion to N25.092trillion.

Fidelity Bank Plc, Transcorp, Zenith Bank, UBA, and Access Bank were most traded stocks on Thursday. In 4,710 deals, investors exchanged 244,042,028 shares valued at N2.350billion.

Analysts at Vetiva in their April 7 note anticipate a mixed session on Friday, “as investors take advantage of the price dip in some of these counters”.