Stock Market Down N22bnon Profit-taking in GTCO, Lafarge Africa

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The stock market of the Nigerian Exchange Limited (NGX) depreciated by N22billion, attributable to investors’ sell-off in Guaranty Trust Holdings plc(GTCO), Lafarge Africa plc and 14 other stocks listed on the bourse.

In summary, the overall market capitalisation dropped by N22billion or 0.086 per cent to close at N25.442trillion yesterday from N25.464trillion the market opened for trading, while the NGX All-Share Index depreciated by 0.08 per cent to 47,207.27 basis points from 47,246.90 basis points.

The downward performance of the stock market yesterday was impacted by decline recorded in large and medium capitalised stocks, amongst which are; GTCO that dropped by1.12 per cent , while Lafarge Africa dropped by 0.38 per cent.

Others are Dangote Sugar that declined by 5.28per cent as United Bank for Africa plc depreciated by 1.14 per cent.

Sector performances of the stock market was negative with the NGX Consumer Goods dropping by 0.58per cent, NGX Banking index was down by 0.35per cent and NGX Industrial declined by 0.02per cent, while the NGX Oil and Gas index added 0.03per cent, the sole gainer.

The performance yesterday dragged both the stock market Month-to-Date and Year-to-date to 1.25per cent and 10.51per cent respectively.

As measured, the stock market sentiment was positive as 26stocks gained relative to 16 losers.

Among the top three gainers are Etransact plc that appreciated by 10 per cent to close at N2.20, while RTBriscoe plc added 9.72 per cent to close yesterday at N0.79 per share. Niger Insurance Plc increased by 9.09per cent to close at N0.24.

On the losers chart, Africa prudential plc dropped by 5.77 to close at N7.35, while Dangote sugar plc depreciated by 5.28 per cent to close at N17.05.

Jn addition, Chasm plc declined by 4.17 per cent to close at N0.23.

In terms of activity levels, total volume and value decreased by 45per cent and 32per cent respectively, as investors exchanged about 231million units of shares worth N3.49billion.

Transcorp plc with was the most actively traded stock with about 23million units of shares worth about N29million.

According to analysts at InvestmentOne research: “The equities market closed in red territory today due to the losses recorded across major sectors.

“Going forward, we expect investor’s sentiments to be swayed by the search for real positive returns and developments in the interest rate space.

“We reiterate that this may be a great period to pick up some quality names with a medium to long-term investment horizon.”

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