The performance of the Nigerian Equity Market remained bearish last week with the index (NSE ASI) down by 0.51% WTD to close at an index level of 35,266.29 and Market capitalization at N12.88 trillion.
The sectoral performance was negative as bearish sentiments were witnessed in all sectors with the exception of Industrial Goods sector that rose by 1.29% owing to price increase in DANGCEM by 2.80%. The Banking sector recorded the highest decline amongst NSE indices with the NSE Banking Index down by 3.80% WTD, owing to significant price depreciation in UBA (-11.64%) and ZENITHBNK (-3.18%).
The market activities were characterised by profit taking on 4 out of 5 trading sessions last week. Despite an improved m acroeconomic environment, investor remained sceptical about the equities market as the nation approaches election period.
In the global space, equities market witnessed a mixed sentiment last week as investors focused on trade wars between US and China and as the currency crisis in Turkey triggered more sell off of assets in emerging economies. The US Dow Jones fell by 1.41% to close at 25,669.32, while the China CSI 300 fell by 4.67% to close at 3229.62.
Over the last five trading sessions:
SEPLAT (Seplat Petroleum Dev. Company) remained unchanged to close at N650.00.
Recommendation: We place a hold rating on this stock.
FBNH (First Bank of Nigeria Holdings) fell by 2.08% to close at N9.80.
Recommendation: We place a buy rating on this stock.
GUARANTY (Guaranty Trust Bank) fell by 2.56% to close at N38.00.
Recommendation: We maintain a buy rating on this stock.
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