Equities Market begins April on negative note, drops by 1.66%

The Nigerian Stock Exchange (NSE) started April on a negative note as the equities market segment dropped by 1.66 per cent to renewed investors profit-taking activities.

The All Share Index (ASI) shed 513.92 basis points, representing a decline of 1.66 per cent, to close at 30,531.69 basis points. However, market capitalisation decreased by N206 billion representing a dip of 1.76 per cent, to close at N11.466 trillion.

Sector performances were negative today with Consumer Goods (-4.92per cent) emerging the worst performing sector, followed by Industrial (-3.00per cent), Oil & Gas (-1.38per cent) and Banking (-0.43per cent).

The downturn was impacted by losses recorded in medium and large capitalised stocks, amongst which are; Nestle Nigeria, Beta Glass, Nigerian Breweries, Cement Company of Northern Nigeria (CCNN) and Dangote Flour Mills.

Market breadth closed negative, with 12 gainers versus 18 losers. McNichols recorded the highest price gain of 10 per cent, to close at 77 kobo, per share. Berger Paints followed with a gain of 9.70 per cent to close at N9.05, while Ikeja Hotel appreciated by 9.57 per cent to close at N2.06, per share.

Caverton Offshore Support Group appreciated by 8.84 per cent to close at N2.71, while Unity Bank gained 8.75 per cent to close at 87 kobo, per share.

On the other hand, Union Diagnostic & Clinical Services led the losers’ chart by 10 per cent, to close at 27 kobo, while Beta Glass followed with a decline of 9.94 per cent to close at N64.80, per share.

Dangote Flour and CCNN declined by 9.80 per cent, each to close at N9.20 and N17.95, respectively, while Oando shed 9.73 per cent to close at N5.10, per share.

The total volume traded rose significantly by 546.06 per cent to 1.7 billion shares, worth N3.68 billion, and traded in 3,251 deals.

Transactions in the shares of Wema Bank topped the activity chart with 1.46 billion shares valued at N1.05 billion.

United Bank for Africa (UBA) followed with 62.95 million shares worth N485.03 million, while Chams traded 47.71 million shares valued at N9.67 million.

Analysts at APT Securities and Funds Limited said that downward trend persists amidst good fundamentals, saying that this is unconnected to low foreign participation as foreign investors take a watch posit in anticipation of new economic reforms.