Weak economic fundamentals and uncertainty about near term outlook weighed
on investors’ sentiment in equities on the Nigerian Stock Exchange, dragging the benchmark index lower.
Specifically, the All Share Index depreciated 0.17 per cent to close at 27,707.12 points, compared to the decline of 2.33 per cent recorded on Friday to close at 27,756.67 points.
Market capitalisation shed N17billion to close at N9.52trillion, compared to the decline of N226billion recorded the preceding day to close at N9.53trillion.
Stock analysts noted that out of the more than 180 companies listed on the domestic bourse, less than 60 are trading on a regular basis, while the rest are either temporally suspended or infrequently traded.
“In our view, the current market cycle is nothing new, but the common concern is the weak market depth and liquidity,” analysts at DLM Securities said.
Also, United Capital attributed the decrease to profit booking in certain key sectors that saw some gains in the past week, most especially the consumer and the industrial goods sectors.
“In our view, we expect sentiment in the near term to be shaped by considerations
around current domestic macro fundamentals as investors remain cautious,” the
May and Baker Plc led the gainers’ table with four kobo or 4.94 per cent to close at 85kobo per share, followed by Cutix Plc with seven kobo ot 4.67 per cent to close at
N1.57 per share.
Diamond Bank Plc was up five kobo or 4.46 per cent to close at N1.17 per share, while United Bank for Africa Plc appreciated 16 kobo to close at N3.69 per share.
NAHCO Plc rose 10kobo or 2.94 per cent to close at N3.50 per share, while Oando Plc added 10kobo to close at N2.10 per share.
Conversely, PZ Cussons Plc declined 93 kobo or 4.97 per cent to close at 93 per share,
while NEM Insurance Plc depreciated four kobo to close at N4.82 per share.
John Holt Plc shed three kobo or 4.55 per cent to close at 65kobo per share, while AIICO Plc fell three kobo to close at 63 kobo per share.
United Capital Plc dropped 10 kobo or 4.37 per cent to close at N2.19 per share, while United Bank Plc dipped three kobo or four per cnt to close at 72 kobo per share.