Equities halt gains as market capitalisation dips by N24 billion

…Analysts predict gloomy outlook on MPR hike
Following losses in Geregu Power Plc and 13 stocks, the Nigerian stock market reversed gains to close on a downturn yesterday as market capitalisation depreciated by N24 billion.

At the close of trading yesterday, the All-Share Index (ASI) decreased by 45.14 absolute points, representing a decline of 0.09 per cent to close at 52,612.55 points. Similarly, the overall market capitalisation size lost N24 billion to close at N28.657 trillion.

The downtrend was impacted by losses recorded in large and medium capitalised stocks, amongst which are; Geregu Power, Nigerian Breweries, Nigerian Exchange Group (NGXGroup), Champion Breweries and Industrial and Medical Gas Nigeria (IMG).

Analysts at Afrinvest said: “Tomorrow, we expect the bears to prevail in the next trading session as investors react to a fresh sizable increase in the MPR.”

As measured by market breadth, market sentiment was positive, as 20 stocks gained relative to 14 losers.

Mutual Benefits Assurance recorded the highest price gain of 10 per cent, to close at 33 kobo per share. Unilever Nigeria followed with a gain of 9.91 per cent to close at N12.20, while C&I Leasing rose by 9.84 per cent to close at N3.46, per share.

Associated Bus Company went up by 9.68 per cent to close at 34 kobo, while International Energy Insurance appreciated by 8.16 per cent to close at 53 kobo, per share.

On the other hand, Nigerian Breweries led the losers’ chart by 9.90 per cent, to close at N41.85, per share. Caverton Offshore Support Group followed with a decline of 9.52 per cent to close at 95 kobo, while Champion Breweries lost 8.00 per cent to close at N4.60, per share.

Wapic Insurance lost 6.67 per cent to close at 42 kobo, while NGX Group shed 5.93 per cent, to close at N25.40, per share.

The total volume traded increased by 26.9 per cent to 182.397 million units, valued at N4.822 billion, and exchanged in 3,470 deals. Transactions in the shares of FBN Holdings (FBNH) topped the activity chart with 19.656 million shares valued at N229.718 million.

Chams followed with 11.218 million shares worth N3.110 million, while Guaranty Trust Holding Company (GTCO) traded 10.990 million shares valued at N264.993 million.

Transnational Corporation of Nigeria (Transcorp) traded 10.574 million shares valued at N12.814 million, while Sterling Bank transacted 10.201 million shares worth N15.933 million.