Local Bourse records losses… ASI down 0.4%

Local bourse recorded losses as the benchmark index fell by 44bps to close at 39,306.47 points following sell-offs in MTNN (-1.1%), BUACEMENT (-1.2%) and GUARANTY (-1.7%). Consequently, YTD loss worsened to -2.4% as market capitalisation fell ₦91.4bn to ₦20.5tn. Trading activity improved as volume and value traded rose 62.9% and 2.5% respectively to 357.7m units and ₦3.4bn. The most traded stocks by volume were ZENITH (52.7m units), FBNH (42.5m units) and NEM (39.5m units) while ZENITH (₦1.2bn), DANGSUGAR (₦368.8m), and MTNN (₦313.9m) led by value.

Across sectors under our coverage, performance was bearish as 5 out of 6 indicators lost. The Industrial Goods index led the losers, down 0.7% due to profit taking in BUACEMENT (-1.2%) and WAPCO (-2.4%). Similarly, the Banking and AFR-ICT indices declined 0.6% and 0.5% respectively following sell-offs in STANBIC (-2.2%), GUARANTY (-1.7%) and MTNN (-1.1%). In the same vein, the Insurance and Consumer Goods indices fell 0.3% and 7bps respectively on the back of price depreciation in MANSARD (-3.3%), DANGSUGAR (-0.8%), and GUINNESS (-1.7%). On the flip side, the Oil & Gas index rose by 0.2% as a result of buying interest in ETERNA (+9.8%) and OANDO (+0.3%). 

Investor sentiment as measured by market breadth (advance/decline ratio), strengthened to 1.6x from the 1.2x recorded in the previous session as 22 stocks advanced while 14 declined. ETERNA (+9.8%), ROYALEX (+9.2%), and CAPHOTEL (+9.1%) led gainers while ENAMELWA (-9.8%), AFRIPRUD (-6.9%), and NPFMCRFBK (-6.4%) led decliners. In the coming trading session, we expect the sell pressure on the domestic stock market to mildly reduce.

Market Statistics for Monday, 17th May 2021 

Source: Afrinvest