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Investors Trade N3.7 Billion Shares as Market Pares Gains

Investors Trade N3.7 Billion Shares as Market Pares Gains

Investors staked N3.713 billion on 272.839 million shares in 4,945 deals at the stock market yesterday, even as price losses by bellwethers pushed the market to the negative territory.

After opening on positive note on Monday, the market pared gains yesterday with the Nigerian Stock Exchange (NSE) All-Share Index, shedding 0.8 per cent to close lower at 29,462.76, while market capitalised went down by N127.6 billion to be at N15.2 trillion.

 

Compared to the previous day, the volume of trading rose by 2.2 per cent, while in value terms, it was a decline of 11.9 per cent. Zenith Bank Plc led the activity chart with 57.8 million shares followed by Access Bank Plc with 33 million. United Bank for Africa Plc closed as the third most actively traded with 22.4 million shares. In value terms, Zenith Bank accounted for N1.3 billion trailed by Dangote Cement Plc with N414 million, while MTN Nigeria Communications Plc with N351.2 million.

Although the price losers outstripped losers, three sectors ended with growths. The NSE Insurance Sector led with 0.7 per cent, trailed by the NSE Consumer Goods Index with 0.3 per cent, while the NSE Oil & Gas Index appreciated by 0.3 per cent.

Conversely, the NSE Banking Index fell by 3.6 per cent, while the NSE Industrial Goods Index declined by 0.5 per cent.

Meanwhile, Arbico Plc led the price gainers with 9.9 per cent trailed by Eterna with a loss of 9.7 per cent. Champion Breweries Plc shed 7.4 per cent, while Access Bank Plc went down by 6.5 per cent.

The price drop in Access Bank Plc came despite the bank’s announcement of acquiring majority stake in Kenyan-based Transnational Bank. According to the bank, the acquisition is in line with its strategic objective of becoming Africa’s gateway to the world and ties into its strategy to establish footprints in key Kenyan markets.

“The acquisition will further complement the bank’s franchise in Rwanda, Congo DRC and Zambia. The acquisition aligns with our objective to become Africa’s gateway to the world and we are excited about the potential that reside in the East African market,” Group Managing Director of Access Bank Plc, Mr. Herbert Wigwe said.

Guaranty Trust Bank Plc and FCMB Group also shed 5.2 per cent and 4.4 per cent, just as Jaiz Bank Plc and UBA Plc closed 4.3 per cent and 3.9 per cent lower respectively.

source:- https://www.thisdaylive.com/index.php/2020/01/22/investors-trade-n3-7-billion-shares-as-market-pares-gains/