NGX opens lower as investors lose N248 bn

The Nigerian stock market on Monday opened on a negative note, with performance indices dropping by 0.44 per cent.

Specifically, investors lost N248 billion or 0.44 per cent, as the market capitalisation, which opened at N56.423 trillion, closed at 56.175 trillion.

The All-Share Index also declined by 0.44 per cent or 439 points to close at 99,304.12, as against 99,743.05 posted on Friday.

Losses in Guaranty Trust Holding Company(GTCO), Zenith Bank, FBN Holdings, International Breweries, Oando Plc, Dangote Sugar, among other declined equities propelled the weakness in the market.

Market breadth closed negative with 26 losers and 20 gainers on the floor of the Exchange.

On the losers’ chart, International Breweries led by 44k to close at N3.96, Deap Capital Management and Trust Plc and Daar Communications followed by 5k each to close at 51k and 52k per share respectively.

Beta Glass lost five Naira to close at N53, while Oando declined by N1.10 to close at N13.85 per share.

On the other side, Secure Electronic Technology Plc led the gainers’ chart by 5k to close at 56k, while VDF Group trailed by four Naira to close at N44.60 per share.

John Holt gained 25k to close at N2.86, Thomas Wyatt rose by 20k to close at N2.30 and Transcorp Hotel added N8.40 to close at N98.40 per share.

Analysis of the market activity showed that trade turnover settled 70.24 per cent higher than the previous session.
A total of 973.62 million shares valued at N19.32 billion in 9,941 deals were transacted, compared to 617.22 million shares valued at N11.35 billion in 9,273 deals recorded in the previous session.

Meanwhile, FBN Holdings led the activity chart in volume and value with 627.64 million shares worth N13.45 billion, Beta Glass followed by 34.70 million shares valued at N1.9 billion.

Veritas Kapital Assurance sold 35.34 million shares worth N33.47 million, Chams traded 62.15 million shares valued at N60.3 million and AIICO Insurance transacted 24.30 million shares worth N23.24 million.

In a reaction, analysts at Cowry Asset Management Ltd., predicted ahead of the week that the local bourse will trade in mixed sentiment.

They said this would ride on the back of low valuation and portfolio repositioning for value stocks as investors continue to exhibit a wait-and-see approach.

The analysts advised market players and investors to trade in stocks of companies with sound fundamentals as trading volume patterns continue to fluctuate.

According to them, the present market outlook suggests buying interest in some sectors and profit-taking in others, amid a wait-and-see attitude.