The stock market on Wednesday opened the week bearish as performance indices declined by 0.14 per cent.
Specifically, the Nigerian Exchange Ltd. (NGX) market capitalisation fell by N91 billion, or 0.14 per cent, to N66.166 trillion from N66.257 trillion recorded on Friday.
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The All-Share Index also dropped by 0.14 per cent or 144.65 points to close at 105,515.99, down from 105,660.64 posted on Friday.
The downturn was due to the alignment of portfolios by dividend taking-investors.
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Also, the market breadth closed negative with 33 losers and 25 gainers.
On the losers’ chart, UACN dropped by 10 per cent to close at N31.95, while University Press fell by 9.95 per cent to close at N3.89 per share
Sunu Assurance lost by 9.92 per cent to close at N5.99 and Consolidated Hallmark Holdings declined by 9.78 per cent to close at N3.23 per share.
Similarly, Learn Africa dropped by 9.64 per cent to close at N3.00 per share.
On the gainers’ chart, UPDCREIT soared by 10 per cent to close at N6.05, while VFD Group increased by 9.96 per cent to close at N51.90 per share.
Africa Prudential rose by 9.96 per cent to close at N14.35 and Union Dicon Salt soared by 9.28 per cent, to close at N5.30 per share.
Also, May Baker gained by 6.17 per cent to close at N8.60 per share.
A total of 438.09 million shares worth N12.016 billion were exchanged across 17,286 transactions.
This is compared to 47.57 million shares worth N21.617 billion that was exchanged across 13,244 transactions on Friday.
Transactions in Fidelity Bank shares topped the activity chart with 41.725 million shares worth N783.26 million.
Mutual Benefits followed with 35.99 million shares valued at N38.215 million while Nigerian Breweries sold 35.614 million shares worth N1.221 billion.
Guaranty Trust Holding Company transacted 33.046 million shares valued at N2.303 billion and Zenith Bank traded 28.635 million shares worth N1.345 billion.
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Reacting to the negative market performance, Aruna Kebira, managing director of Globalview Capital Ltd., said that the market downturn trend was a result of profit-taking.
According to him, investors are moving their resources from their previous positions, especially to Guaranty Trust Holding Company, due to the attractiveness of its final dividend for 2023.
He said, “What we witnessed today was an alignment of portfolios by dividend-seeking investors.
“The market has analysed the declaration of results, so investors are shifting their positions from their initial holdings to GTCO.
“People are often carried away by immediate yield but don’t critically analyse the market.”
(NAN)
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