NGX drops further on Tuesday as investors lose N17bn

 The bears extended dominance on the Nigerian Exchange (NGX) on Tuesday, as it extended loss position by 0.08 per cent following sustained profit taking on Tier 1 banking stocks.Specifically, the All-Share Index dipped 32.57 points or 0.08 per cent to close at 38,873.85 from 38,906.42 recorded on Monday.

Accordingly, month-to-date and year-to-date losses increased to 0.9 per cent and 3.5 per cent, respectively.

Similarly, the market capitalisation which opened at N20.270 trillion inched lower by N17 billion or 0.08 per cent to close at N20.253 trillion.

The negative performance was driven by market watchers sell-off sentiment in the banking sector.

The market negative performance was driven by price depreciation in large and medium capitalised stocks which are; Zenith Bank, Guaranty Trust Holding Company (GTCO), Neimeth International Pharmaceuticals, Access Bank and Flour Mills.

Analysts at Afrinvest Limited said that “Following an improvement in sentiment, we expect a positive performance in the next trading session as investors take position in attractive stocks.”

However, the market breadth closed positive, recording 16 gainers against 13 losers.

Neimeth International Pharmaceuticals led the losers’ chart in percentage terms by 7.89 per cent to close at N1.75 per share.

Chams followed with 4.35 per cent to close at 22k, while Japaul Gold lost 4.08 per cent to close at 47k per share.

Sovereign Trust Insurance lost four per cent to close at 24k, while Wema Bank shed 3.80 per cent to close at 76k per share.

Conversely, MRS Oil topped the gainers’ chart in percentage terms by 9.75 per cent to close at N15.20 per share.

Veritas Kapital Assurance followed with 9.52 per cent to close at 23k, while Regency Alliance Insurance grew by 6.82 per cent to close at 47k per share.

Unity Bank rose by 3.77 per cent to close at 55k, while Courteville Business Solutions gained 3.23 per cent to close at 32k, per share.

Meanwhile, the total volume of shares traded dipped by 3.41 per cent to 184.44 million shares valued at N2.34 billion in 3,809 deals.

This was in contrast with 190.96 million shares worth N2.35 billion transacted in 3,462 deals on Monday.

Transactions in the shares of United Bank for Africa topped the activity chart with 38.994 million shares valued at N297.641 million.

GTCO followed with 19.04 million shares worth N517.86 million, while Zenith Bank traded 14.19 million shares valued at N326.52 million.

United Capital traded 12.89 million shares worth N114.18 million, while Access Bank transacted 10.08 million shares worth N90.17 million.