Selloff Persists as Index Plummets Further by 0.1 Percent

Following price losses incurred by most blue-chip stocks, transactions on the trading floor of the Nigerian Stock Exchange (NSE) continued on a downward note yesterday, as the All-share index plunged further by 0.1 per cent.

The All Share Index (ASI) depreciated by 35.12 absolute points, representing 0.11 per cent decline to close at 32,382.58 points. Similarly, the market capitalisation decreased by N13 billion to close at N11.822 trillion.

The decline was impacted by losses recorded in medium and large capitalised stocks, amongst which are; Nigerian Breweries, Transcorp Hotel, UAC of Nigeria, FBN Holdings and Mobil Nigeria.

Analysts at Afrinvest Limited said: “against expectations, the local bourse closed negative yesterday. Nevertheless, we believe strengthening investor sentiment and noticeable buying interest supports our outlook for a bullish close for this week.”

However, market breadth closed positive, with 21 gainers versus 18 losers. Chemical and Allied Products (CAP) recorded the highest price gain of 10 per cent, to close at N33, while Mutual Benefits Assurance followed with a gain of 7.69 per cent to close at 28 kobo, per share.

Continental Reinsurance gained 7.19 per cent to close at N1.49, while Consolidated Hallmark Insurance and Union Diagnostic & Clinical Services appreciated by 7.14 per cent each to close at 30 kobo, each per share.

Meanwhile, the exchange has poured eulogies on its erstwhile Director-General (DG) Apostle Hayford Alile, for his contributions to the growth of the nation’s capital market.

According to a statement by the NSE, Alile’s outstanding achievements at the exchange include the physical movement of the Exchange’s operations to its current location in the hub of the Nigerian financial district; trading automation, which significantly improved international access to the Nigerian capital market; and the launch of the All Share Index (ASI).

“Even in retirement, Apostle Alile constantly made himself available to the exchange. Most recently, we remember his wise counsel and measured contributions during his meritorious service as a member of the exchange’s Membership Verification Panel, whose activities assisted the National Council in finalizing the exchange’s membership register.”

Specifically, the Chief Executive Officer, NSE Oscar N. Onyema said: “This is a great loss to the Nigerian capital market and the country at large. Apostle Alile’s contributions to the capital market and organised private sector will continue to be referenced. He was indeed a visionary leader, whose foresight and impact on the operations of the NSE remain evident several years after the end of his tenure as DG of the exchange”.

By Helen Oji

The Guardian Newspaper October 11th, 2018

Leave a Comment

Your email address will not be published. Required fields are marked *