Nigeria stock market fails to sustain gains

Nigeria’s stock market returned to the red zone on Wednesday March 25 over heightened uncertainty about the economy due to Coronavirus Pandemic.

Nigeria, Africa biggest economy early Wednesday confirmed two more cases of Coronavirus, taking the country’s confirmed cases to 46. Its commercial capital, Lagos has the highest number.

Amid remote trading, the Nigerian Stock Exchange (NSE) All Share Index (ASI) which had risen on Tuesday decreased by 0.05 percent at the close of trading on Wednesday.

The NSE ASI decreased from 21, 741.16 points to 21, 729.48 points while the value of listed stocks decreased from N11.329trillion to N11.323trillion, losing N6billion.

Total Nigeria plc recorded the highest decline after its share price dropped from

N107 to N96.3, losing N10.7 or 10 percent while MTNN plc followed from N103 to a new low of N100, losing N3 or 2.91percent.

On the advancers list, Zenith Bank plc occupied topmost position, rising from

N10.95 to N11.75, up by 80 kobo or 7.31 percent while Cadbury Nigeria plc moved up from N5.15 to N5.65, adding 50kobo or 9.71percent.

Investors in 3,874 deals exchanged 233,474,577 units valued at N2.239billion. Gtbank, Zenith Bank, Access Bank, UBA, and FBN Holdings were actively traded stocks.

Analysts noted that despite the attractiveness of the current price levels to new investors who are willing to invest for mid/ long term period, as well as opportunity for existing investors to average down their cost, the domestic bourse remains fragile in the face of uncertainties in the global and macro economy hence the possibility of sell pressure exist in the short term.