NSE extends losses by ₦4235.9Bn in 3-Day cold streaks

THE Nigerian Stock Exchange (NSE) extends losses by ₦425.9 billion on Wednesday in a renewed 3-day cold streaks as investors booked profits.

This week, the domestic equities market has extended losses for the third consecutive trading session due to sell-offs in DANGCEM (-7.4%), ZENITH (-3.1%), and UBA (-6.9%).

As a result, the NSE All-Share Index dipped 196 basis points to 40,696.01 points.

After the bear grip, year to date (YTD) return fell to 1.1% while market capitalisation declined to ₦21.3 trillion.

Market data shows that activity level improved as volume and value traded rose 19.9% and 38.7% respectively to 366.9 million units and ₦5.5 billion.

The most traded stocks by volume were ZENITH (43.7 million units), FBNH (40.0 million units) and GUARANTY (36.0m units).

Meanwhile GUARANTY (₦1.2 billion), ZENITH (₦1.1 billion) and MTNN (₦846.2 million) led by value.

Afrinvest said performance across sectors under its coverage was largely bearish as 5 of 6 indices closed southward, save the Oil & Gas index which closed flat.

The Industrial Goods and Banking indices lost 3.7% and 3.4% respectively due to sell-offs in DANGCEM (-7.4%), WAPCO (-2.6%), ZENITH (-3.1%) and GUARANTY (-1.5%).

Similarly, the Insurance and Consumer Goods indices fell 1.2% and 0.4% respectively following sell pressures in AIICO (-6.7%), LINKASSURE (-9.1%), FLOURMILL (-5.7%) and DANGSUGAR (-2.3%).

Also, Afrinvest stated that the AFR-ICT index declined 2 bps on the back of a price decline in ETRANZACT (-10.0%).

Investor sentiment as measured by market breadth worsened to 0.4x from the 1.0x recorded previously as 13 stocks gained against 36 losers.

NIGERINS (+10.0%), CHAMPION (+9.8%) and WAPIC (+7.4%) were the top gainers.

Meanwhile, REGALINS (-10.0%), CAP (-10.0%) and FIDSON (-10.0%) were the top losers.

“In the next trading session, we expect the equities market to close in the red. However, there is room for bargain hunting opportunities”, Afrinvest stated.

NSE Extends Losses by ₦4235.9Bn in 3-Day Cold Streaks