Investors in stocks saw a selling surge for the fourth time in a row, which was linked to overvalued listed stocks on the Nigerian Exchange (NGX). In contrast to purchasing momentum in the fixed income market, the stock market has been declining since the start of the week.
Demand was high in the debt office’s primary market auctions due to the sharp increase in interest rates on Naira assets. The Nigerian stock exchange finished down on Thursday as selloffs persisted, indicating a lackluster purchasing mood among investors as key companies reached overbought levels.
As a result, major performance metrics fell, continuing to rise faster than the market’s average inflation rate at today’s closing. Due to several profit-taking actions in key market sectors, the Nigerian Exchange All-share index fell by 0.86%, with the Insurance sector leading the loss.
NGX data showed that the market index or All-Share Index decreased by 878.89 basis points today, representing a drop of -0.86% to close at 101,227.42 points.
However, market activities improved, stockbrokers at Atlass Portfolios Limited said in a report. Total volume and total value traded for the day increased by +39.91% and +11.97% respectively.
Citing data from the Nigerian Exchange, Atlass Portfolios Limited stated that approximately 478.38 million units valued at ₦7,172.36 million were transacted in 10,957 deals.
UNIVINSURE was the most traded stock in terms of volume, accounting for 9.04% of the total volume of trades. The Insurance stock was followed by TRANSCORP (8.78%), ZENITHBANK (6.71%), UBA (6.63%), and ACCESSCORP (6.59%) to complete the top 5 on the volume chart.
ZENITHBANK was the most traded stock in value terms, with 15.72% of the total value of trades on the exchange. MEYER topped the advancers’ chart for today with a price appreciation of 9.97 per cent.
The company was followed by JULI with (+9.52%) growth, TANTALIZER (+4.76%), REDSTAREX (+4.05%), LASACO (+3.54%), GTCO (+1.91%), and LIVESTOCK (+0.53%).
Fifty-three stocks depreciated, where CONHALLPLC, STERLINGNG, NASCON, and UNITYBNK were the top losers, with a price depreciation of -10.00% each, as ETERNA (-9.95%), TRANSCORP (-9.45%), OANDO (-8.82%), DANGSUGAR (-8.61%), and INTBREW (8.33%) also dipped in price.
Today, the market breadth closed negative, recording 7 gainers and 53 losers. In contrast, the market sector performance was negative.
All the five major market sectors went down, led by the Insurance sector, which dipped by 4.19 %, followed by the Banking sector which lost -2.33% while the Consumer goods index shed 1.90%. The Oil & Gas sector fell by 0.49% and the Industrial sector went down by 0.30%.
Overall, the equities market capitalisation of the Nigerian Exchange lost ₦480.77 billion to close at ₦55.39 trillion.
