Investors are expected to take position in market bellwethers such as Guaranty, Dangote Cement, as well as other bellwether stocks currently trading at attractive entry prices says analysts at Afrinvest securities.
The analysts also expect a rebound this week, following three days of successive losses in the market as investors seek for bargain hunting opportunities.
A review of trading activities at the Nigerian equities market showed the lead indicator, The Nigerian Stock Exchange All Share Index (NSE ASI), was down 0.66 percent on the first trading day of the week, Tuesday.
The ASI closed at 38,664.15 points weakening the year to date return to 1.2 percent, while market capitalization while the market capitalization also closed N95.6 billion lower to settle at N14.01 trillion.
Sector performances were also broadly bearish as four of the five sectors core sectors declined in the course of the day’s trading activities. The banking index was the biggest loser for the day having declined 2.25 percent on the back drop of sell offs in Zenith, Guaranty and FBN Holdings. Oil & Gas (-0.41%), Insurance (-0.45%) and Industrial Goods (-0.36%) indices followed in the bearish run consequent on significant losses in Forte Oil (-4.987%), Prestige (-6.25%) Equity Assurance (-4.17%), while the consumer goods index recorded a 0.06 percent due to bargain hunting in Nigerian Breweries (+0.09%).
Investors’ sentiment was negative as 12 stocks advanced while 34 declined. Activity levels closed positive as market volume moved up by 16.00 percent to 390.5 million units traded while value traded closed at N6.115 billion.