The Nigerian bourse closed flat today as the All Share Index remained at 28,344.33 points for the second consecutive trading.
A total volume of 342.1 million units of shares, valued at N5.03billion exchanged hands in 4,048 deals.
- UBA was the most traded shares by volume at 92.8million units, while GUARANTY and ZENITHBANK topped the market value list at N1.84billion and N1.34billion respectively.
- The market breadth index was positive with 13 gainers against 11 losers. ETERNA (+9.98%) led the gainer’s chart today, while GLAXOSMITH (-3.45%) topped the laggards.
- NSE Banking Index: Down by -0.74%, due to sell-offs in GUARANTY (-1.67%), ACCESS (-1.27%), and ETI (-1.15%).
- NSE Insurance Index: Depreciated by -0.45%, on price depreciation in AIICO (-3.57%).
- NSE Oil & Gas Index: Fell by -0.29%.
- NSE Consumer Goods Index: Up by +0.40% on buy-interests in GUINNESS (+3.23%), INTBREW (+3.19%), and PZ (+2.38%).
- NSE Industrial Index: Improved by +0.30%, on the back of price appreciation recorded in WAPCO (+4.03%).
ETERNA up 9.98% to close at N5.29
WAPCO up 4.03% to close at N18.05
GUINNESS up 3.23% to close at N16
INTBREW up 3.19% to close at N4.85
VITAFOAM up 1.67% to close at N6.1
GLAXOSMITH down 3.45% to close at N5.6
FIDSON down 3.00% to close at N3.56
AFRIPRUD down 2.81% to close at N5.54
GUARANTY down 1.67% to close at N29.5
ACCESS down 1.27% to close at N7.75
What this means
Nigerian bourse ended the trading session neutral for 2 consecutive days, following oil prices and the U.S dollar rebounding up.
- Unsurprisingly, trading activities were dampened amid the prevailing macro, showing that the protests for Nigerian police reforms by Nigerian youths have entered a critical phase.
- The inflation rate surged to 13.71% (year-on-year) in September 2020, indicating a 0.49% point difference when compared to 13.22% recorded in August 2020. This weakened buying pressure in financial-based stocks.
- Also, some leading western nations are beginning to report higher cases of COVID-19 infections, fueling serious speculations of imminent lockdown. This has dampened the resolve that global investors would increase their buying pressure at the biggest exchange of sub-Saharan Africa and weakened traders’ morale on Thursday.
#EndSARS Bull return to Nigerian Stock Market amid Looting
The market breadth index was positive with 20 gainers against 10 losers.
Nigerian bourse advanced today by 0.40%, to close at 28,563.87 points. The All Share Index was up by 0.40%, with the year-to-date return at +6.39% and market capitalization at N14.92 trillion. Investors gained N59.78 Billion.
- A total volume of 311.3 million units of shares, valued at N469billion exchanged hands in 3,375deals. GUARANTY was the most traded shares by volume and value at 77.8million units and N2.33billion.
- The market breadth index was positive with 20 gainers against 10 losers. UACN (+8.33%) led the gainer’s chart today, while GLAXOSMITH (-3.57%) topped the laggards.
- All sectors were bearish – Insurance, Oil & Gas, Consumer Goods, and Banking were lowered by 0.93%, 0.07%, 0.06%, and 0.03%, respectively save for the Industrial sector index which appreciated by +0.15%.
- UACN up 8.33% to close at 8.33%
- STANBIC up 2.33% to close at 2.33%
- DANGSUGAR up 2.22% to close at N13.8
- WAPCO up 2.02% to close at N17.65
- MTNN up 1.45% to close at 1.45%
- GLAXOSMITH down 3.57% to close at N5.4
- INTBREW down 2.95% to close at N6.25
- CAP down 1.07% to close at N18.5
- FBNH down 0.82% to close at N6.05
- ZENITHBANK down 0.72% to close at N20.65
Nigerian bourse against all odds recorded impressive gains. The gain was recorded amid, falling crude oil prices, and significant records of looting at a number of Nigerian urban areas triggered by the ongoing political unrest in Nigeria.
- Buying pressure from NSE30 stocks like MTN Nigeria, Stanbic IBTC Bank, Dangote Sugar, UACN lifted the All Share Index value upward.
Investors maid the prevailing macro are repositioning their portfolio for Q3 earning results amid a drop in market liquidity at Thursday’s trading session.
- Nairametrics, still envisage readers to be cautious about choosing stocks to buy, on reports coming from the Lagos Chamber of Commerce and Industry (LCCI) revealing Nigeria had lost more than N700 billion in economic value since the #EndSARS protests started a few weeks ago.
#EndSARS: NSE lost N113 billion Market Capitalization on Wednesday, October 21
The NSE Market Capitalization shed N113 billion from N14.983 trillion to N14.870 trillion on Wednesday
As at close of trading on Wednesday, the NSE Market Capitalization shed N113 billion from N14.983 trillion to N14.870 trillion.
The demand for Equities drastically reduced on the trading floor of the NSE, as the market reacted to the prevailing tensed security situation arising from the hijacked #EndSARS protests in Lagos, resulting in the loss of lives and vandalization of private and public owned properties.
The lull in the market, undoubtedly, was not unconnected with the disposition of most investors, who rather than investing, showed more concern about the safety of their investments, as well as observing the government’s next line of action in handling the lingering security situation.
The NSE All-Share Index also declined by 0.75% from 28,665.82 points to 28,449.49 points.
What they are saying
According to the Director-General of NECA, Mr. Timothy Olawale, “Protest is legal and a fundamentally guaranteed right of Nigerians to draw government’s attention to the need to take drastic action as regards reforms in all areas of our national life. However, it is important that the economy should not be brought to its knees in the process. The economy is in tatters, facing the threat of a second recession and unemployment rising to an unmanageable level, the need to stop the slide is not only urgent, but important. A consequential effect of the hindered capacity of businesses to function is the higher unemployment rate, further reduction in disposable income of those left in employment, heightened insecurity with the risk of hoodlums hijacking the peaceful protest among others.”
The Lagos Chamber of Commerce and Industry (LCCI) estimated that the protests has cost the economy over N700 billion (about $1.8bn in losses). According to the President of LCCI, Mrs. Toki Mabogunje, her group was concerned about the negative impact of the development on business activities and said, “These actions have been at great cost to the economy and the welfare of Nigerian citizens. It should be noted that our economy is still reeling from the shocks of the COVID-19 pandemic and struggling to recover from its devastating effects.”
Explore Data on the Nairametrics Research Website
#EndSARS: Curfew, widespread looting triggers losses for Nigerian Stocks
Market breadth closed negative as WAPIC led 4 Gainers as against 34 Losers topped by ARDOVA at the end of today’s session.
Nigerian bourse recorded its first trading loss this week amid the rising political crisis in Nigerian major cities.
The All Share Index plunged by 0.75% to close at 28,449.49 points as against +0.03% appreciation recorded on Tuesday.
- Its Year-to-Date (YTD) returns currently stands at +5.99%. Investors’ losses stood at N113.07 billion.
- Today’s trading session at the Nigerian bourse went positive as volume moved up by +9.84%, as against the +3.48% uptick recorded on Tuesday. UBA, ZENITH BANK, and GUARANTY were the most active to boost market turnover.
- NNFM leads the list of active stocks that recorded an impressive volume spike at the end of today’s session.
- Market breadth closed negative as WAPIC led 4 Gainers as against 34 Losers topped by ARDOVA at the end of today’s session – an unimproved performance when compared with the previous outlook.
- WAPIC down 10.00% to close at N0.44
- PORTPAINT down 2.50% to close at N2.05
- UAC-PROP down 1.23% to close at N0.82
- NB down 0.97% to close at N52
- ASOSAVINGS down 0.00% to close at N0.5
- ARDOVA up 6.30% to close at N11.9
- GUINNESS up 5.88% to close at N16
- WAPCO up 4.42% to close at N17.3
- JBERGER up 3.17% to close at N16.8
- MTNN up 1.43% to close at N138
Unsurprisingly, the Nigerian bourse ended its mid-week trading session on a bearish note amid falling crude oil prices and disruption among major economic hubs in Nigeria, particularly Lagos.
- The major theme weighing on stock traders and local investors remained the ongoing EndSARS protests. This has led to a suspension in economic activities and intensified selling pressure by the bears.
- Nairametrics envisage caution buying, as many investors now consider a wait and see approach amid high political tensions in Nigerian major cities.