Nigerian Stocks Down -0.45% on Sustained Bearish Run

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July 11, 2018

By Peter OBIORA InvestAdvocate

Lagos (INVESTADVOCATE)-The Nigerian equities market on Wednesday closed down the third trading session of the week as benchmark index lost 0.45 percent to close at 37,253.25 points, driven by sell-offs in Industrial and Consumer Goods sectors.

InvestmentOne reports at the close of the trading session, market breadth index was negative with 17 gainers compared to 25 stocks that declined.

The report says Custodian Investment Plc  with a gain of +10.00 percent was the topmost gainer on the Nigerian bourse, while construction giant, Julius Berger Nigeria Plc with a loss of -10.00 percent led the losers chart.

Top tier lender, Access Bank Plc with a loss of -0.95 percent was the most actively traded with 116 million units of shares worth about N1.21billion.

In terms of sector performance, the Nigerian Stock Exchange (NSE) Industrial index declined by 2.34 percent following the losses in the shares of cement producers, Lafarge Cement Wapco Nigeria Plc and Dangote Cement Plc both dipped by -5.17 percent and -0.88 percent each.
In the same vein, the NSE Consumer Goods index shed 0.46 percent due to the decline in the shares of beer producers, international Breweries Plc and Champion Breweries Plc both down -6.46 percent and -4.21 percent, Flour Mills Plc also plunged by -0.81 percent.
On the positive side, InvestmentOne reports that the NSE Oil & Gas index advanced by 1.73 percent largely driven by the gains in the shares of oil marketing majors, Mobil Nigeria Plc and Forte Oil Plc both appreciated by +9.39 percent and +4.86 percent apiece. Capital Oil Plc and Oando Plc both gained +3.13 percent and +2.34 percent respectively.
Still on the gaining side is the NSE Banking index which appreciated by 0.01 percent following the buy interest in the shares of Union Bank Plc and Fidelity Bank Plc both grew +1.69 and +1.44 percent each; while Zenith Bank Plc rose +0.83 percent.
“Going forward, we expect the market to remain volatile in the absence of positive news flow. With this said, we highlight that the recent sell-off in the equities market presents an entry opportunity for investors with a medium to longer term horizon,” the InvestmentOne report affirmed.

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