The Nigerian equities market closed on a downward note yesterday as market
capitalisation declined by N1.02 trillion, amid losses in banking and oil stocks.
Data by the (NGX) showed that the all-share index (ASI) declined to
243,204.73 points, down from 244,738.74 points recorded on Thursday, June
11, reflecting negative market breadth.
Similarly, market capitalisation shed value to close at N155.99 trillion,
compared with N156.97 trillion in the previous session, indicating a loss of
N1.02 trillion in value.
Performance across sectoral indices was largely negative. The NGX Banking
Index declined to 2,272.44 points from 2,299.26 points, while the Oil and Gas
Index slipped to 5,516.25 points from 5,698.36 points.
The Industrial Index also edged lower to 11,590.56 points. Other indices,
including the NGX Insurance and Consumer Goods indices, recorded mild
losses, reflecting broad-based weakness in the market.
Despite the overall bearish sentiment, a handful of equities posted gains. Royal
Exchange Plc led the gainers’ chart, rising by 10 per cent to close at N1.65
kobo. Ikeja Hotel Plc followed with a 9.97 per cent to close at N47.45 kobo.
Conhall Plc gained 9.58 per cent to settle at N9.04 kobo. Other notable gainers
included UPL, Mansard Insurance, and Academy Press, all recording price
upticks of 8.7 per cent and 9.1 per cent.
On the losers’ table, International Energy Insurance led with a 9.99 per cent
decline to N6.40 kobo, followed closely by e-Tranzact International Plc, which
fell 9.97 per cent to close at N14.90. Neimeth International Pharmaceuticals Plc
and Oando Plc also recorded significant losses of 9.94 per cent and 9.81 per
cent, respectively. Other notable decliners included NAHCO, which dropped
9.19 per cent, and Cornerstone Insurance, down 9.17 per cent.
On market outlook, the chief research officer of Investdata Cinsulting Limited,
Ambrose Omordion, said the stock market is expected to maintain a positive
tone in the near term, although trading may remain within a narrow range as
investors position ahead of the release of half-year corporate earnings and key
macroeconomic developments.
According to him, continued demand for fundamentally strong large-cap stocks
is expected to provide support for the market, while periodic profit-taking by
investors may limit the pace of further gains.