Market News

By Helen Oji

The equities market closed trading on a downturn yesterday, as the all-share index (ASI) declined by 0.1 per cent amid selloff in MTN Nigeria Communications (MTNN) Plc and 16 other stocks.

At the close of trading yesterday, the ASI depreciated by 117.9 points, representing a decline of 0.11 per cent to close at 105,475.38 points. Also, market capitalisation dipped by N74 billion to close at N66.141 trillion.

The downturn was driven by price depreciation in large and medium capitalised stocks amongst which are MTNN, Africa Prudential, Zenith Bank, Nigerian Aviation Handling Company (NAHCO) and Dangote Sugar Refinery.

However, the market breadth closed positive, as 31 stocks gained relative to 17 losers. On what will shape the market in the next trading session, analysts at Vetiva Dealings and Brokerage said: “Market could have closed in green in today’s session save for the 269 bps decline in MTNN.

“Therefore, we are cautiously optimistic that bargain hunters will emerge in tomorrow’s session, potentially spurring a modest rebound. Nonetheless, the risk of sustained selling pressure may keep the market subdued.”

Afrinvest said: “Investor sentiment, as measured by market breadth, improved to 0.17x (previously 0.11x) as 31 stocks advanced, 18 declined. Tomorrow, we expect a mixed trading session on the bourse as market continues to trade sideways.”

Investors traded a total of 5.76 billion shares valued at N342.605 billion in 10,908 deals. Mutual Benefits Assurance emerged the highest price gainer of 10 per cent to close at 88 kobo. Royal Exchange followed with a gain of 9.88 per cent to close at 89 kobo, while NEM Insurance rose by 9.84 per cent to close at N13.40 kobo.

Lasaco Assurance increased by 9.56 per cent to close at N2.75, while eTranzact International appreciated by 9.52 per cent to close at N5.75 kobo.
On the other side, ABC Transports led others on the losers’ chart with 9.8 per cent to close at N1.38 kobo. Universal Insurance followed with a decline of 8.33 per cent to close at 55 kobo, while DAAR Communications declined by 6.45 per cent to close at 58 kobo.

Champion Breweries lost five per cent to close at N3.80, while Africa Prudential depreciated by 3.97 per cent to close at N14.50 kobo.

Also, transactions in the shares of Lafarge Africa led the activity with 4.474 billion shares worth N330.146 billion. Sovereign Trust Insurance followed with account of 607.057 million shares valued at N607.081 million, while Cutix traded 358.333 million shares valued at N860.044 million.

Fidelity Bank traded 61.858 million shares worth N1.178 billion, while Access Holdings traded 43.792 million shares worth N973.747 million.