Tuesday’s severe stock selloffs on the Nigerian market cost investors more than N371 billion. Stockbrokers stated that despite corporate results reports, there was renewed pressure on the market.
Due to the devaluation of the naira and the accompanying difficulties, the second quarter of the 2024 earnings season has not been outstanding thus far.
Key performance indicators fell by 0.67% as Tuesday’s trade concluded in a poor manner. Closing at 96,928.52, the Nigerian Exchange All-Share Index saw a drop of 653.89 basis points.
According to stock market analysts, selloffs in BUACEMENT (-9.99%), GTCO (-1.44%), TRANSCORP (-1.82%), and FIDELITYBK (-1.86%) outweighed gains in OANDO (+9.89%) and UBA (+3.45%) to cause the dismal outturn.
Stockbrokers said investors are reacting negatively to the first half of the year’s performance of quoted companies, high inflation and interest rates. In spite of the bearish trade, market activities closed in the green. Total volume and total value traded for the day increased by +38.56% and +8.32% respectively.
In an emailed note to investors, Atlass Portfolios Limited said approximately 449.21 million units valued at ₦6,735.23 million were transacted across 9,381 deals.
UBA was the most traded stock in terms of volume, accounting for 14.00% of the total volume of traded. Other volume drivers include OANDO (8.06%), VERITASKAP (7.47%), STERLINGNG (7.41%), and ACCESSCORP (6.90%).
Also, UBA also emerged as the most traded stock in value terms, with 19.42% of the total value of trades on the exchange. ACADEMY and NASCON topped the advancers’ chart with a price appreciation of 10.00 percent each.
Other gainers include OANDO, which popped up by +9.89% SKYAVN (+9.80%), RTBRISCOE (+9.78%), UCAP (+9.74%), UPL (+9.63%), and twenty-two others.
Twenty-five stocks depreciated, according to data from the Nigerian Exchange. BUACEMENT was the top loser, with a price depreciation of -9.99%.
Other decliners include THOMASWY (-8.52%), CHAMPION (-7.97%), ETERNA (-7.37%), FIDSON (-6.78%), and BERGER (-3.70%).
Based on the trading direction, the market breadth closed positive, recording 29 gainers and 25 losers.
The NGX sector’s performance was weak. The Industrial Goods (-3.69%) and Oil & Gas (-0.17%) indices closed in negative territory due to bearish sentiments in BUACEMENT (-9.99%) and ETERNA (-7.37%), respectively.
The Consumer Goods (+0.52%), Insurance (+0.29%), and Banking (+0.24%) indices closed in the green from demands in DANGSUGAR (+3.61%), CUSTODIAN (+4.92%), and UBA (+3.45%), respectively.
Overall, the equities market capitalization of the Nigerian Exchange lost ₦371.26 billion to close at ₦55.03 trillion on Tuesday.
