The equities market on Monday opened the week on a negative note, shedding N418 billion due to losses in largely capitalised stocks.
The All-Share Index decreased by 766.56 per cent, representing a decline of 1.48 per cent, to close at 51,127.38 points from 51,893.94.
Similarly, the overall market capitalisation value lost N418 billion to close at N27.850 trillion from N28.267 trillion.
The market negative performance was driven by price depreciation in large and medium capitalised stocks which are MTN Nigeria Communications (MTNN), Transcorp Hotels, Africa Prudential, FBN Holdings (FBNH) and Wema Bank.
This week, United Capital Plc said it expected “mostly bearish sentiments in the market, supported by the illiquidity of the financial system,” noting that the current “bear trend is approaching a turning point, as the Q1, 2023 earnings season draws nearer.”
It added, “We anticipate the broad-based return of investors’ risk-on sentiments, which is to be catalysed by declining yields in the fixed-income market. The current low prices and valuations will allow buy-side investors the opportunity to re-enter the market and take positions in fundamentally sound stocks, thus maximising market returns.”
Also, the market breadth was negative as 18 stocks lost relative to 16 gainers.
Ikeja Hotel recorded the highest price gain of 9.48 per cent to close at N1.27, per share. Transnational Corporation (Transcorp) followed with a gain of 9.47 per cent to close at N1.85 and Consolidated Hallmark Insurance up by 8.77 per cent to close at 62k, per share. Nigerian Exchange Group rose by 8.16 per cent to close at N26.50, while Jaiz Bank gained 5.68 per cent to close at 98k, per share.
On the other hand, International Energy Insurance led the losers’ chart by 6.98 per cent to close at N1.20, per share. MTNN followed with a decline of 6.67 per cent to close at N224, while Transcorp Hotels lost 5.8 per cent to close at N6.50, per share. Africa Prudential declined 5.45 per cent to close at N5.20, while AIICO Insurance shed 5.08 per cent to close at 56k, per share.
The total volume traded fell by 58.19 per cent to 226.59 million units, valued at N1.57 billion, and exchanged in 4,37 deals.
Transactions in the shares of Transcorp topped the activity chart with 107.21million shares valued at N162.83 million. Fidelity Bank followed with 39.31 million shares worth N206.01 million, while United Bank for Africa (UBA) traded 22.6 million shares valued at N190.36 million. Zenith Bank traded 20.61 million shares valued at N521.29 million, while FCMB Group transacted 12.61 million shares worth N47.83 million.