Sell pressure persists on NSE, market capitalisation loses N175bn

Sell pressure on the Nigerian Stock Exchange (NSE) persisted on Wednesday with the market capitalisation shedding N175 billion.

Specifically, the market capitalisation which opened at N14.645 trillion dipped N175 billion or 1.19 per cent to close at N14.470 trillion.

Similarly, the All Share Index (ASI) decreased by 338.51 points or 1.19 per cent to close at 28,093.76 compared with 28,432.27 achieved on Tuesday.

The downturn was impacted by losses recorded in medium and large capitalised stocks such as Mobil Nigeria, Dangote Cement, Nigerian Breweries, Conoil and NASCON.

Analysts at Afrinvest Limited expected more corporate releases to influence investors’ appetite towards the market.

Analysts from Imperial Asset management also expected market to maintain prevailing trend in the next trading session amid foreign investors’ worries on lower oil prices as coronavirus escalate.

Market breadth closed negative, with 18 gainers compared with 21 losers.

Union Bank of Nigeria recorded the highest price gain to lead the gainers’ chart in percentage terms, gaining 9.85 per cent to close at N7.25 per share.

Law Union and Rock Insurance came second with 9.52 per cent to close at 92k, while Consolidated Hallmark Insurance grew by 9.09 per cent to close at 36k per share.

Chemical and Allied Products improved by 8.85 per cent to close at N24.60, while Linkage Assurance rose by 8.77 per cent to close at 62k per share.

Conversely, Conoil Nigeria and NASCON led the losers’ chart in percentage terms, dropping by 10 per cent each, to close at N18 and N13.50 per share, respectively.

Mobil Nigeria trailed with a loss of 9.94 per cent to close at N133.20 per share.

C& I Leasing lost 9.52 per cent to close at N6.65, while GlaxoSmithkline shed 8.26 per cent to close at N5 per share.

An analysis of the activity chart indicates Zenith Bank was the toast of investors, accounting for 98.13 million shares valued at N1.87 billion.

FBN Holdings followed with 47.13 million shares worth N277.81 million, while FCMB Group sold 41.21 million shares valued at N79.05 million.

United Bank for Africa accounted for 21.68 million shares worth N162.21 million, while Ecobank Transnational Incorporated transacted 19.86 million shares worth N141.099 million.

In all, the total volume of shares traded increased by 34.4 per cent with an exchange of 350.21 million shares worth N4.28 billion achieved in 4,729 deals.

This was in contrast with a turnover of 254.86 million shares valued at N3.04 billion transacted in 5,191 deals on Tuesday.