Nigeria’s stock market opened this week on a negative note as equity dealers got more orders from investors to sell stocks like MTNN, Zenith, GTBank, and UBA without corresponding demand for them.
The value of listed stocks depleted further by N277billion, as investors continued to weigh the risk of Coronavirus pandemic, which its control measures made Federal Government order a 14-day lockdown in the nation’s commercial capital of Lagos State, Federal Capital Territory (FCT) Abuja, and Ogun State.
In the absence of any positive catalyst that is capable of lifting investors’ confidence, market watchers expect Monday’s bearish performance to filter into Tuesday trading session.
Despite this restriction, the Nigerian Stock Exchange (NSE) is sustaining its ongoing remote trading following the approval to include the Financial System and Money Markets in the list of exempted services from the lockdown of Lagos and Ogun States and the FCT. The NSE sustains remote trading activities at normal hours and days, in line with the guidance provided by the World Federation of Exchanges.
MTNN led the losers table on Monday after its share price decreased from N100 to N90, losing N10 or 10percent, followed by Zenith Bank Plc which decreased from N12.6 to N11.95, losing 65kobo or 5.16percent, and GTBank Plc which dipped from N18.45 to N17.9, shedding 55kobo or 2.98percent.
Stock dealers in 3,659 deals exchanged 466,907,406units valued at N1.933billion. As at close of trading on Monday March 30, the NSE All-Share Index (ASI) decreased by 2.43percent from day open level of 21.861.78 points to 21,330.79 points while the value of listed stocks decreased to N11.116 trillion from N11.393 trillion. The stock market’s year-to-date (ytd) negative return has increased to -20.53percent.
Investors however raised bets on stocks like Mobil Oil Nigeria Plc which rose by N14.4 or 9.83percent, from N146.5 to N160.9, while Cadbury advanced from N6.2 to N6.8, adding 60 kobo or 9.68percent. The positive performance in the Oil & Gas sector (1.77percent) could not save the NSE ASI from closing south as losses across other sectors eroded the gains made.
