Stock market reverses gains… ASI down 1bp

Today, the domestic equities market reversed the previous trading session gain as the benchmark index fell 1bp to 37,866.90 points due to sell-offs in NIGERIAN BREWRIES (-3.3%), GTCO (-0.5%) and DANGSUGAR (-4.7%). Consequently, YTD loss was unchanged at -6.0% while market capitalisation declined by ₦2.9bn to ₦19.7tn. Trading activities waned as volume and value traded fell by 18.9% and 56.6% respectively to 159.9m units and ₦927.9m. The most traded stocks by volume were SOVRENINS (14.9m units), FIDELITY (13.5m units), and WAPIC (19.5m units) while MTNN (₦145.5m), ZENITH (₦86.1m), and NIGERIAN BREWRIES (₦71.9m) led by value.

Across sectors under our coverage, performance was bullish as 4 indices gained, 1 lost while AFR-ICT index closed flat. The Oil & Gas and Banking indices gained 0.8% and 0.7% respectively on the back of buying interest in OANDO (+6.3%), ZENITH (+1.2%) and STANBIC (+0.7%). Similarly, the Insurance and Industrial Goods indices inched higher by 30bps and 4bps respectively due to price appreciation in AIICO (+9.5%) and WAPCO (+0.7%). Conversely, the Consumer Goods index dipped by 0.7% due to sell pressure on INTBREW (-0.9%). 

Investors sentiment, as measured by market breadth (advance/decline ratio), weakened to 1.2x from 1.5x recorded in the last trading session as 18 stocks gained while 15 stocks lost. SOVRENINS (+10.0%), FTNCOCOA (+9.8%), and CWG (+9.6%) led gainers while IKEJAHOTEL (-9.3%), WAPIC (-8.5%) and UPL (-7.2%) led decliners. We expect the domestic equities market to close in the red for the week.

Market Statistics for Thursday, 15th July 2021 

Source: Afrinvest