The market indices of Nigerian Stock Exchange, NSE, on Tuesday dropped further by 0.50 per cent following investors’ reaction to the October 2016 inflation figure of 18.3 per cent.
The News Agency of Nigeria reports that the market capitalisation lost N44 billion or 0.50 per cent to close at N8.901 trillion from the N8.945 trillion recorded on Monday.
Also, the All-share Index, which opened at 25,986.81, shed 129.75 points or 0.50 per cent to close at 25,857.06 due to price loses by some blue chips.
Uche Uwaleke, the Head of Banking And Finance Department, Nasarawa State University, Keffi, told NAN that the stock market would continue to plummet with the rising inflationary trend.
Mr. Uwaleke said that the rise in inflation rate would continue to dampen the confidence of domestic investors, especially now that foreign investors’ participation had been on the decline.
Lafarge Africa topped the price losers’ table with a loss of N4 to close at N44 per share.
Dangote Cement trailed with a loss of N2.50 to close at N161.50, while Conoil lost N1.79 to close at N34.11 per share.
International Breweries depreciated by 89k to close at N19, while Forte Oil declined by 32k to close at N94 per share.
Conversely, Mobil led the price gainers’ table with N5 to close at N195 per share.
Guaranty Trust Bank followed with a gain 90k to close at N21.90, while NASCON garnered 35k to close at N7.35 per share.
Nigerian Breweries appreciated by 31k to close at N142.31, while Custodian and Allied insurance improved by 18k to close at N3.81 per share.
NAN reports that the volume of shares traded closed higher with 189.73 million shares valued at N905.10 million transacted in 2,417 deals.
This was in contrast the 160.91 million shares worth N1.12 billion achieved in 2,431 deals on Monday.
Standard Insurance drove the activity chart with a total of 95 million shares worth N47.50 million.
It was trailed by United Capital accounting for 11.33 million shares valued at N28.09 million, while FBN Holdings traded 11.23 million shares worth N34.36 million.
Eterna Oil exchanged 10.75 million shares valued at N32.99 million, while United Bank for Africa traded 7.26 million shares worth N31.20 million.