Nigerian equities market ends week in red as index dips 2.84% on sell-offs across sectors

The Nigerian equities market Friday closed the week negative as the benchmark index lost 1.01 percent to record 2.84 percent week-to-date (W-t-D) loss, driven by sell-offs across sectors.

At the close of trading on the Nigerian Stock Exchange (NSE) market breadth was negative with 12 gainers compared to 42 losers.

Hospitality firm, Ikeja Hotels Plc. emerged the top gainer with a gain of 9.79 percent; while insurer, Equity Assurance Plc. posted the worst loss of 8.70 percent, lender First City Monument Bank was the most actively traded with 44 million units of shares worth N98 million.

In terms of sector performance, the NSE Banking Index shed 1.97 percent, following the losses in the shares of Fidelity Bank Plc., United Bank for Africa Plc, FBN Holdings Plc, Diamond Bank Plc, Guaranty Trust Bank Plc., Zenith Bank Plc. and Stanbic IBTC all losing by 7.77 percent, 4.93 percent, 4.90 percent, 4.86 percent, 1.99 percent, 1.30 percent and 1.04 percent respectively.

The NSE consumer goods index declined by 1.06 percent, due to the sell-off in the shares of Dangote Flour Mills Plc., Flour Mills of Nigeria Plc., Honeywell Flour Mills Plc. and brewer, Nigerian Breweries Plc all depreciating by 6.81 percent, 4.84 percent, 3.85 percent, 4.82 percent and 0.60 percent apiece, according to InverstmentOne report.

The report says that the NSE Industrial Index lost 0.02 percent on the back of the decline in the shares of cable producer, Cutix Plc and First Aluminum Nigeria by 4.76 percent and 4.55 percent each.

On the flip-side, the NSE Oil & Gas Index closed up 0.02 percent and driven by gains in the shares of oil marking major, MRS Oil Nigeria Plc by 4.95 percent.

” Going forward, we expect the market to remain volatile in the absence of positive news flow. With this said, we highlight that the recent sell-off in the equities market presents an entry opportunity for investors with a medium to longer term horizon,” the InvestmentOne analysts affirmed.