Capitalisation plunges at the Exchange
The upbeat
witnessed at the Nigerian Stock Exchange (NSE) on Monday declined
yesterday as the performance of equities close on a negative note.
The market
capitalisation of 198 first-tier securities closed lower as market net
worth dropped by N92 billion at the close of Tuesday’s transaction;
from N8.01 trillion to N7.92 trillion, representing a decrease of 1.14
per cent. The NSE All-Share Index depreciated by 1.18 per cent on
Tuesday to close at 24,804.22 basis points from the previous day’s
figures of 25,102.20.
David Adonri, chief
executive officer of Lambert Trust and Securities Company Limited, a
stock broking firm, said equities’ value declined because short term
investors are reaping part of the attractive profit recorded in recent
rally sessions.
The Exchange
sectoral indexes reflected to sell activities yesterday as NSE-30,
which measures the performance of blue chips in the market, dropped by
0.02 per cent. The NSE Oil & Gas dropped the highest points by 0.44
per cent, followed by Food/Beverages to drop by 0.24 per cent; the
Banking moved up by 0.21 per cent while the NSE Insurance, the only
gainer, appreciated by 1.19 per cent.
Commenting on the
insurance sector performance, Mr Adonri said, “Corporate earnings in
the sector appear to be getting better. I think the insurance
sub-sector is presently seeing light.”
He said the sector had suffered what is technically called a fatigue after a long period of rally.
Most active
Banking sector led
the market transaction volume today with 174.41 million units valued at
N1.71 billion exchanged in 3,258 deals as against 157.48million units
valued at N1.28 billion exchanged in 3,213 deals recorded yesterday.
The volume recorded
in the sector was driven by transaction in the shares of Zenith Bank,
UBA, First Bank and Access Bank and the total volume of 104.60 million
units valued at N1.23 billion traded in the shares of the four stocks
accounted for 37.76 per cent of the entire market volume and their
value represented 46 per cent of the market’s value.
Transaction volume
on the exchange climbed by 22.81 per cent to close at 277.00 million
units exchanged in 5,711 deals as against a decline by -35.61% recorded
previous trading to close at 225.54 million units exchanged in 5,195
deals.
Leave a Reply