The Nigerian Stock Exchange (NSE) crucial market indices resumed trading for the week on Monday with a loss of 0.26 per cent, halting the bullish run due to profit taking.
The News Agency of Nigeria (NAN) reports that the All-Share Index shed 82.39 points or 0.26 per cent to close at 31,344.24 against 31,426.63 on Friday.
Also, the market capitalisation which opened at N11.719 trillion dipped N31 billion or 0.26 per cent to close at N11.688 trillion.
Analysts at InvestData Ltd. anticipated that the market was experiencing mixed performance and a pullback to halt the bull-run.
They said that the pullback was expected due to intensifying political uncertainties and insecurity resulting from the Federal Government’s recent decision to suspend and appoint an acting Chief Justice of Nigeria (CJN).
They said that the development in less than three weeks to presidential polls would further rattle investors’ confidence in the market and the system entirely.
“The possibility of slowdown in position taking on blue-chips stocks for short term gains has increased.
“However, gains recorded in the two previous weeks are not sustainable in the near term owing to the elevated risk in the domestic and external market.
“The ongoing volatility will persist as investors and fund managers reposition their portfolios, with eyes fixed on political space ahead of full year company earnings position and post-election market dynamics.
“These are likely to drive prices north, or south, while determining market direction before or after the Presidential Election,” the analysts said.
A breakdown of the price movement table indicates that Seplat recorded the highest loss during the day, losing N20 to close at N520 per share.
Berger Paint trailed with a loss of 75k to close at N7, while United Bank for Africa was down by 35k to close at N7.35 per share.
Dangote Flour Mills shed 30k to N6.20, while GlaxosmithKline declined by 25k to close at N11.75 per share.
Conversely, Total led the gainers’ table, improving N8.80 to close at N223.30 per share.
Betaglass followed with a gain of 65k to close at N55.55, while Zenith International Bank added 45k to close at N23.45 per share.
Oando gained 25k to close at N5.10 while NPF Micro Finance Bank garnered 14k to close at N1.60 per share.
Similarly, the volume and value of shares traded closed lower by 46.62 per cent and 41.40 per cent, respectively.
Specifically, investors bought and sold 222.69 million shares valued at N1.84 billion exchanged in 4,150 deals.
This was against the 417.17 million shares worth N 3.14 billion traded in 3,970 deals on Friday.
Fidelity Bank was the most active stock, trading 23.77 million shares valued at N56.66 million.
United Bank of Africa followed with an account of 21.89 million shares worth N162.02 million, while Diamond Bank traded 21.21 million shares valued at N48.48 million.
Transcorp sold 30.84 million shares worth N26.34 million, while FCMB Group exchanged 20.12 million shares valued at N42.47 million.
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