• Sunday, December 10, 2023
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Banking stocks drag index lower as investors begin weighing safety options

Stocks lose N519bn as CBN raises key interest rate

The NSE Banking index retreated the most, losing up to 3.4 percent at the end of Friday’s trading, as investors began factoring in the impact of regulatory head winds on their full-year results.

Leading banking sector losses were Zenith Bank, shedding up to 8 percent of its share price and GT Bank, which dropped by 4 percent. Other bank stocks that recorded losses were Sterling Bank, Diamond Bank and UBA. First Bank inched higher, however, leveraging on public perception as a safe-haven stock.

Mixed sentiments were at play in the market, as trading outcome was determined both by investors who were exiting in the face of this week’s elections and bar- gain hunters. Changes in the value of other sector indexes were as follows: The NSE 30 index lost 1.06 percent; so did the insurance sector which dropped by 0.3 per- cent, and the consumer goods sector which dipped by 1.02 percent.

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The oil and gas sector however, recorded marginal gains of 0.7 percent, as well as the industrial sector also gained 1.7 percent. Market breadth showed that 14 stocks gained, while 25 stocks lost.

Dangote Flour led market gains for the day, gaining up to 10.2 percent or 37 kobo to close at N4, up from N3.63 the previous trading day. Access bank recorded the second highest share price appreciation, gaining 5.5 percent, to close at N6, up from N5.69.

Presco gained 5 percent or N1.45 to close at N30.45, up from N29. Seplat also gained 5 percent or N15.90 to close at N333.90 up from N318. Betaglass rounded off the top 5 gainers’ list, gaining 4.97 percent to close at N31.49 from N30.