Market value shrinks by N39bn as investors take profits on Equities

THE MAR KET VALUA TION OF equities at the Nigerian stock market dipped by N39 billion to close activities after some investors took advantage of price appreciation to sell their shares.

According to market dealers, the depreciation in value of stocks recorded at the end of the week did not stem from negative sentiment in the market; rather, it emanated from earlier profit in the last two weeks, spurred by constitution of Economic Advisory Council (EAC) and announcement of fiscal plan for the next three years by the federal government.

Garba Kurfi, the chief executive officer of Apt Securities and Funds, commented that the market, from August till the first week of September, was

characterised by weak investor’s confidence, which continued to eat into the market capitalisation, week-on-week.

At the close of the market on Friday, the weekly

loss dragged down benchmark indices 0.19 per cent as the Nigerian Stock Exchange All-Share Index (NSEASI) shed 52.55 points to close at 27,698.69 bps and market capitalisation

settled lower at N13.484 trillion.

Meanwhile, a total turnover of 1.272 billion shares worth N18.750 billion in 19,482 deals were traded in the week by investors on the floor of the Exchange in contrast to a total of 1.147 billion shares valued at N14.082 billion that exchanged hands in preceding week in 17,980 deals.

The financial services industry, measured by volume, led the activity chart with 945.947 million shares valued at N9.743 billion traded in 11,046 deals; thus contributing 74.38 per cent and 51.96 per cent to the total equity turnover volume and value respectively.

The consumer goods industry followed with 82.934 million shares worth N5.556 billion in 2,862 deal while the third place was occupied by conglomerates industry with a turnover of 80.821 million shares worth N267.101 million in 1,163 deals.

Also, trading in the top three equities namely, FBN Holdings Plc, Guaranty Trust Bank Plc and Access Bank Plc most pushed the volume traded accounting for 482.334 million shares worth N6.561 billion in 4,724 deals, contributing 37.93 per cent and 34.99 per cent to the total equity turnover volume and value respectively.

A total of 38 equities appreciated in price during the week, lower than 39 in the previous week, 29 declined in share price, higher than 19 losers recorded in the previous week while 99 equities remained unchanged, lower than 108 equities recorded in the preceding week.

In addition, a total of 96 units of equity traded fund (ETF) valued at N215,654 were traded during the week in six deals compared with a total of 6,540 units valued at N23,650.70 transacted last week in five deals.