Sell Pressure in Beer, Bank Stocks Bury NGX Index by 0.10%

By Dipo Olowookere

The Nigerian Exchange (NGX) Limited sank deeper on Thursday by 0.10 per cent as investors maintained their bearish stance, preferring to book profit and then cherry-pick shares with sound fundamentals ahead of the release of half-year earnings.

Stocks in the banking, consumer goods and industrial goods sectors were mostly affected by the profit-taking yesterday, with key tickers like Access Holdings Zenith Bank, Lafarge Africa and International Breweries taking the bullets for others.

At the close of business, the consumer goods index lost 0.93 per cent, the banking and industrial goods counters depreciated by 0.02 per cent each, while the insurance space gained 0.58 per cent, with the energy landscape closing flat.

As for the All-Share Index (ASI), it went down by 51.24 points to 51,339.01 points from 51,390.25 points, while the market capitalisation declined by N28 billion to N27.685 trillion from N27.713 trillion.

Business Post reports that the bourse closed with 15 price gainers and 10 price losers on Thursday despite the bearish outcome and it was due to the fact that some investors are already mopping up shares selling at low prices with good future prospects.

Academy Press maintained its upward movement yesterday with a price appreciation of 8.70 per cent to sell for N2.25, Regency Assurance rose by 8.00 per cent to 27 Kobo, CWG improved by 7.95 per cent to 95 Kobo, Cutix chalked up 7.27 per cent to trade at N2.36, while NAHCO increased its share price by 5.00 per cent to sell for N8.40.

However, Champion Breweries lost 8.74 per cent to trade at N3.55, Ikeja Hotel fell by 7.69 per cent to N1.20, International Breweries depreciated by 5.17 per cent to N5.50, Multiverse declined by 4.76 per cent to N1.80, while UPDC REIT moderated by 4.17 per cent to N3.45.

At the market yesterday, investors traded 115.4 million shares worth N1.2 billion in 3,731 deals compared with the 198.1 million shares worth N2.2 billion transacted in 4,769 deals on Wednesday, signifying a decline in the trading volume, value and number of deals by 41.95 per cent, 44.72 per cent and 21.77 per cent respectively.

Transcorp emerged as the most active stock as it transacted 12.2 million units valued at N15.1 million, International Breweries sold 7.7 million units worth N42.8 million, FBN Holdings exchanged 7.4 million units worth N78.8 million, Zenith Bank traded 6.6 million units valued at N148.3 million, while Sterling Bank transacted 6.5 million units worth N10.0 million.