The recent outbreak of the deadly Coronavirus has continued
to send panic through global markets, as the Brent price of crude oil
slumped by 20.2 per cent YTD to $54.93 per barrel alongside the
institution of the new Value Added Tax (VAT) which has also continued to
put pressure on the Nigerian economy.
As a result, sentiments remained weak in the Nigerian equities market
as profit-taking activities dominated, sending the All Share Index
(ASI) southwards by 2.7 per cent, equaling the previous week’s loss, to
settle the Year-to-Date (YTD) and Month-to-Date (MTD) returns at +4.6
and -1.6 per cent, respectively.
Despite the influx of unaudited full year-2019 results of some quoted
companies on the Nigerian Stock Exchange (NSE), the market began the
week on a bearish note as the benchmark index declined by 1.08 per cent
to 28,533.4 points, as sell-offs of Tier 1 banking stocks continued.
The bears continued to grip the market on Tuesday as the ASI dropped
0.35 per cent to close at 28,432.3 points, driven by sell-offs in
Dangote Sugar and Zenith Bank.
The bearish sentiment persisted as sell-offs in Dangote Cement and
Nigerian Breweries drove the index southwards by 1.2% to 28,093.76
points on Wednesday. Thursday’s session, however, saw some form of price
appreciation in banking stocks, which drove the ASI up by 0.17 per cent
to close at 28,140.41 points.
Friday saw the bears returning to the market as investors retreated,
leading to a 0.26 per cent to close the week at 28,067.09 points while
market capitalisation slipped by N240 billion to close the week at
N14.618 trillion from N14.857 trillion.
This was precipitated by selloffs in market heavyweights Dangote Cement, BUA Cement and MTNN.
Analysing the sectors, the Industrial Goods (-2.2 per cent), Oil
& Gas (-3.0 per cent), Consumer Goods (-2.2 per cent), and Banking
(-1.5 per cent) indices all declined, while the Insurance (+0.2 per
cent) index was the sole gainer.
On the price movement chart, 18 stocks depreciated while 16 others
appreciated. Cileasing topped the losers’ chart with 10 per cent to
close at N5.40 per share, Trans Express was next with 10 per cent to
close at 0.81 kobo, NPF Microfinance Bank dropped 9.68 per cent to close
at N1.12, Neimeth lost 9.09 per cent to close at 0.50 kobo while Eterna
fell by 8.59 per cent to close at N2.15.
Japaul Oil topped the gainers’ chart with 10 per cent to close at
0.22 kobo per share. Law Union followed with 9.90 per cent to close at
N1.11, Livestock feeds increased by 9.90 per cent to close at 0.60 kobo,
Honeywell rose by 7.84 per cent to close at N1.10 while Chams
appreciated by 6.90 per cent to close at 0.31 kobo.
Activity level on the bourse as at February 6 weakened as volume and
value traded fell 9.4 and 19.9 per cent to 317.2 million units and N3.4
billion respectively, exchanged in 4,340 deals. The most active stocks
by volume were FBN Holdings (57.3 million shares), FCMB (43.2 million
shares) and Zenith Bank (34.3 million shares) while Nigerian Breweries
(N1.2 billion), Zenith Bank (N705.5 million) and FBN Holdings (N345.6
million) led by value.
Reacting, analysts at Afrinvest said: “We believe that the market
would continue this downtrend, especially as earnings released this week
has been largely mixed and insufficient to boost investor confidence”.
Cordros Capital in their weekly assessment said: “In our view, the trend
witnessed this week is likely to persist, as the dual impacts of the
weakening sentiment and mixed earnings performances during earnings
season are expected to pressure market returns. Nonetheless, we advise
investors to take positions in fundamentally justified stocks”.
On his part, the Managing Director, Decof Investments, Moses Igbrude,
said that investors are trying to adapt to the current situation of the
economy, noting that global crisis is having an impact on the Nigerian
stock market.
Popular News
-
A US mayor of a small town in Illinois who sent Police officers on Sunday to break up parties amid coronavirus lockdown was left shocked ...
-
Happy New Month Nigeria! Welcome to the month of June. As the world searches for a respite from all its troubles since 2020 began, one can ...
-
The Osun State Governor, Chief Ademola Adeleke, has escaped a horrific fate, according to a report by Leadership. By a stroke of luck, wh...
-
The United Kingdom (UK) has announced new travel requirements. This is as it said Visa is not enough for people wishing to enter the c...
-
The Independent National Electoral Commission (INEC) has submitted documents before the Presidential Election Petition Court (PEPC) foll...
-
Ayodeji Richard Makun, the Nigerian comedian and actor, who is popularly known as AY, has apologized to late singer Ilerioluwa Aloba, po...
-
In today's fast-paced world, managing personal finances is more crucial than ever. Whether you're aiming to build wealth, save for...
-
The United States has announced that starting March 1, 2023, it will increase visitor visa validity from 24 months to 60 months for Niger...
-
After a meeting with President Bola Tinubu, the Assembly of Healthcare Professionals (AHPA) and Health workers under the aegis of the Joi...
-
Italy have been crowned champions of the 2020 European Championship after defeating England 3-2 in penalties on Sunday night, July 11. ...
-
“Every improvement contributing to your outstanding experience is our daily motivation.” - Remitano Every product and feature on the Rem...
-
For the quarter, added 537,000 residential and small enterprise business internet customers versus 380,000 within the prior year quarter....
-
SMS marketing is a marketing channel which allows businesses to message customers with marketing messages through SMS, or more commonly kn...
-
Breaking news about iceland country incredible but true if you are interested read the full story iceland team was able to achieve an ...
-
Happy New Month Nigeria! Welcome to the month of June. As the world searches for a respite from all its troubles since 2020 began, one can ...
-
An Israeli professor has claimed that coronavirus will disappear after 70 days with or without intervention. The unproven claims were ma...
-
The Remitano founding team has always maintained the belief and vision that blockchain and cryptocurrencies are a big step forward for s...
-
Would you believe it if someone tells you that cayenne pepper has the power to stop a heart attack within a minute? Believe it or not, thi...
-
Apparently, ginger, a well-known spice we frequently add to different dishes to enhance the flavor, has the power to prevent cancer. But, i...
- bitcoin
- bitcoin mining
- Coronavirus
- dr anu nigeria
- coronavirus china
- Benefit Of Ginger Water
- Bobrisky
- Buhari
- coronavirus cure
- benefits of drinking milk
- Biafran War
- coronavirus death rate
- coronavirus outbreak
- dede one day mansion
- coronavirus update
- History of Biafra
- How To Make Ginger Water
- eri
- How to save your phone battery
- is 5g dangerous
- Kobe Bryant
- Jennifer Aniston
- kobe bryant family
- latest nigeria news paper
- kobe bryant wife
- latest on nigeria news
- naija news
- Malignant mesothelioma
- nigeria news
- Mesothelioma survival rates
- newspaper online in nigeria
- nigeria news breaking
- nigeria news headline today
- nigeria news of the day
- nigeria news paper online
- nigeria newspaper
- nigeria news paper today
- nigeria news today & breaking
- nigeria newspaper online
- nigerianewspaper
- nigeria newspapers
- Regina Daniels
- online dating scams
- Side Effects Of Eating Corn
- t mobile data usage
- online nigeria news
- what is tiger nut
- tiger nuts
- Tyson Fury
0 comments:
Post a Comment