The bears continued to dominate trading on the Nigerian Stock Exchange (NSE) on Wednesday with investors losing N426 billion in about six hours of trading.
Consequently, the market capitalisation which opened at N21.715 trillion shed N426 billion or 1.96 per cent to close at N21.289 trillion due to massive profit-taking.
Similarly, the All-Share Index dipped 814.15 points or 1.96 per cent to close at 40,696.01 from 41,510.16 recorded on Tuesday.
The market loss was driven by price depreciation in large and medium-capitalised stocks amongst which were; Fidson, Chemical & Allied Products, Regency Alliance Insurance, Sovereign Trust Insurance and Sunu Assurance.
Mr Ambrose Omorodion, Chief Operating Officer, InvestData Ltd., attributed the persistent lull to profit-taking and sell pressure, ahead of earnings season.
He added that mixed unaudited full year results released so far by the NSE contributed to the development.
“For discerning investors, these pullbacks have created an opportunity to position ahead of earnings expectations,” Omorodion said.
Market breadth remained negative with 37 laggards and 13 gainers.
CAP, Sunu Assurance, eTranzact International, Fidson Healthcare, Regency Alliance Insurance, and Sovereign Trust Insurance drove the losers’ chart in percentage terms, dropping 10 per cent each to close at N18, 81k, N2.25, N5.40, 27 kobo and 27k per share, respectively.
Mutual Benefit Assurance followed with 9.76 per cent to close at 37k, while Linkage Assurance shed 9.09 per cent to close at 60k per share.
Conversely, Niger Insurance dominated the gainers’ table in percentage terms, gaining 10 per cent to close at 22k per share.
Champion Breweries trailed with 9.82 per cent to close at N3.02, while Wapic Insurance rose by 7.41 per cent to close at 58k per share.
Academy Press improved by 6.06 per cent to close at 35k, while Guinness Nigeria appreciated by 4.83 per cent to close at N20.60 per share.
However, the total volume of shares traded increased by 19.9 per cent with an exchange of 366.86 million shares valued at N5.48 billion in 5,718 deals.
This was in contrast with 305.93 million shares worth N3.95 billion traded in 4,961 deals on Tuesday.
Transactions in the shares of Zenith Bank topped the activity chart with 43.74 million shares valued at N1.103 billion.
FBN Holdings came second with 40.03 million shares worth N289.26 million, while Guaranty Trust Bank traded 35.98 million shares valued at N1.17 billion.
Courteville Business Solutions sold 35.12 million shares worth N7.024million, while Transcorp transacted 23.74 million shares valued at N23.23 million.
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