Investors Lose N2.55tn in Two Days as Profit-taking Persists

Investors in the stock market have lost N2.55trilliion in two-day as profit-taking in large capitalised companies continued to push the overall market capitalization downward.

Opening for trading this week, the stock market dropped by N1.82trillion on investor’s profittaking in Dangote Cement Plc, MTN Nigeria Communication Plc, and 35 others.

The following day, the stock market closed on a bearish mood as losses in BUA Cement Plc and 42 others pushed the overall market capitalization down by N729 billion.

In all, the market capitalization, closed yesterday at N55.299 trillion, dropping N2.55 trillion or 4.4per cent from N57.850 trillion it opened for trading this week.

Also, the Nigerian Exchange Limited All-Share Index NGX ASI) dropped by 4,662.11basis points or 4.4per cent in two-day, closing at 101,060.67 basis points from 105,722.78basis points It opened for trading this week.

Consequently, the stock market Month-to-Date and Year-to-Date returns settled at -0.1per cent and +35.2per cent, respectively.

For yesterday’s trading activities on the NGX, investor sentiment, as measured by market breadth closed negative as eight stocks advanced, while 43 declined. Juli emerged as the highest price gainer of 9.94 per cent to close at N1.77, per share.

Eterna followed with a gain of 6.17 per cent to close at N17.20, while Veritas Kapital Assurance rose by 5.97 per cent to close at 71 kobo, per share.

Geregu Power increased by 3.68 per cent to close at N985.00, while Tantalizers up by 2.63 per cent to close at 39 kobo, per share. On the other side, Honeywell Flour Mills led the losers’ chart with 10 per cent to close at N3.60, per share. BUA Cement followed with a decline of 9.98 per cent to close at N142.95, while PZ Cussons Nigeria declined by 9.72 per cent to close at N27.30, per share.

UPDC Real Estate Investment Trust depreciated by 9.32 per cent to close at N5.35, while NEM Insurance down by 8.63 per cent to close at N6.35, per share.

The total volume of trades decreased by 6.46 per cent to 256.157 million units, valued at N6.629 billion, and exchanged in 8,783 deals. Transactions in the shares of Transnational Corporations (Transcorp) led the activity with 39.746 million shares worth N528.451 million. United Bank for Africa (UBA) followed with an account of 26.026 million shares valued at N624.495 million, while Fidelity Bank traded 25.477 million shares valued at N270.479 million.