NSE reverses Tuesday gains as Index drops 3% Wednesday

The Nigerian Equities market has been performing in a somewhat meandering manner for the week so far as a positive close in the previous trading session has yet again reversed into the red zone on Wednesday with a 1 per cent daily change drop in NSE ASI.

The negative close of the market’s ASI is indicative of a poor performance in today’s trading session as market capitalization logged lower at 13.40 trillion naira and market breadth closed in favour of the bears with a ratio of 0.73 (19 gainers as against 26 losers).

Across the sector performance indicators board was an array of negative closes as all sector indices shed points today, with the exception of NSE OILGAS which gained 0.09 per cent on its previous close and NSE ASEM which maintained its previous close.

BERGER gained 4.93 per cent on its previous closing price to close at 7.71 naira today to top the gainers chart while PRESCO lost an almost identical 4.98 per cent on the losers’ chart to top it, closing at 68.41 naira from a previously recorded 65 naira.

STERLNBANK, DIAMONDBNK, FBNH, GUARANTY and UBA topped the volume-based chart while GUARANTY, ZENITHBANK, NESTLE, FBNH and DANGSUGAR topped the value-based ranking (in order of appearance).

Both trade volume and trade value charts recorded negative daily changes as an aggregate of 462.67 million shares valued at 26.80 billion naira in the previous trading session slumped to 323.93 million shares worth an approximated 4.40 billion naira at the closing bell of today’s trading session.

Analysts at APT Securities and Funds have this to say about the market: “Given the volatile nature of most stocks in a fragile environment as the Nigerian economy, we advice investors to take it upon themselves to seek as much information as they can before investing their funds in the market”.