The Nigerian bourse sustained a downtrend at the end of Thursday’s trading session as sell-offs in Dangote Cement, a major cap, brought the all-share index down by 1.6 percent to 37,933.70 points.
To this end, year-to-date gain contracted to 41.2 percent despite market capitalization gaining N76.9 billion in value to settle at N13.5 trillion.
An appraisal of the day’s performance indicates that sell-offs in DANGCEM (-1.7%) contributed hugely as aside it, the market would have performed positively (+2.6%).
Market activity level was mixed as volume traded fell 10.7 percent to 289.3 million units while value traded inched 41.4 percent higher to N6.2 billion.
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Performance across sectors was largely bearish as all indices save the oil & gas index closed in the red. The oil & gas index rose 3.8 percent largely on the back of a rally in SEPLAT (+7.7%).
On the flip side, the industrial goods index led losers, down 3.1 percent on account of the dip in DANGCEM (-1.7%). The banking and insurance indices followed closely, falling 1.0 percent and 0.6 percent respectively as investors booked profit in ACCESS (-3.8%), UBN (-5.0%), CUSTODYINS (-4.8%) and NEM (-4.8%).
In the same vein, the consumer goods index was dragged 0.4 percent lower due to sell-offs in FLOURMILL (-9.7%) NIGERIAN BREWERIES (-0.5%) and DANGSUGAR (-0.9%).
Market breadth (advancers/decliners ratio), which measures investor sentiment, weakened further to 0.3x from the 0.8x recorded previously; 10 stocks advanced relative to 30 stocks that declined.
The top performers were SEPLAT (+7.7%), CAVERTON (+3.8%) and JBERGER (+3.7%) while FLOURMILL (-9.7%), UBN (-5.0%) and NEM (-4.8%) led laggards.
“With the ongoing profit taking in the equity market especially in banking and industrial Goods counters, we expect a rebound in market sentiment on the last trading day,” said analysts at Afrinvest.