Connect with us

Economy

Stock Market Falls on Emergence of Tinubu as APC Presidential Candidate

Published

on

bears stock market

By Dipo Olowookere

The stock market depreciated by 0.14 per cent on Wednesday as investors begin another round of profit-taking with the key contenders in the 2023 presidential election between the two major political parties now known.

Yesterday, a former Governor of Lagos State, Mr Bola Tinubu, emerged as the flag-bearer of the ruling All Progressives Congress (APC) in next year’s poll, defeating the Vice President, Mr Yemi Osinbajo, who came third and former Governor of Rivers State, Mr Rotimi Amaechi, who was the first runner-up.

With a former Vice President, Mr Atiku Abubakar, as the candidate of the opposition Peoples Democratic Party (PDP) and a former Governor of Anambra State, Mr Peter Obi, as the ticket holder of the Labour Party, investors can now guess who will likely take over from President Muhammadu Buhari on May 29, 2023.

Ahead of this, they are treading cautiously and this was reflected in the outcome of the market at the midweek session. The market capitalisation depreciated by N42 billion to settle at N28.677 trillion compared with Tuesday’s N28.719 trillion, while the All Share Index (ASI) fell by 76.90 points to close at 53,193.98 points in contrast to the previous day’s 53,270.88 points.

Trading data showed that investor sentiment was weak yesterday as the exchange ended the session with 20 depreciating stocks and 16 appreciating stocks led by Caverton, which gained 7.34 per cent to close at N1.17.

FTN Cocoa rose by 5.88 per cent to 36 kobo, Transcorp improved by 5.69 per cent to N1.30, Cutix expanded by 4.98 per cent to N2.74, while Linkage Assurance advanced by 3.70 per cent to 56 kobo.

Champion Breweries was the heaviest price loser on Wednesday as it fell by 9.79 per cent to N3.50, Cornerstone Insurance depreciated by 9.68 per cent to 56 kobo, eTranzact went down by 9.67 per cent to N2.71, NEM Insurance depleted by 8.33 per cent to N3.85, while Japaul slipped by 6.25 per cent to 30 kobo.

Business Post reports that the insurance and banking counters went down by 1.76 per cent and 0.86 per cent apiece, while the consumer goods and industrial goods sectors gained 0.13 per cent and 0.03 per cent respectively, with the energy index closing flat.

A total of 249.0 million equities worth N1.9 billion exchanged hands in 4,265 deals on Wednesday compared with the 234.6 million equities worth N2.8 billion traded in 4,232 deals on Tuesday, implying a decline in the value of trades by 32.19 per cent and an increase in the volume of trades and number of trades by 6.11 per cent and 0.78 per cent respectively.

Transcorp dominated the activity chart yesterday, closing as the most active after trading 103.6 million stocks valued at N131.3 million, Fidelity Bank sold 24.8 million shares valued at N80.2 million, FBN Holdings traded 12.5 million equities worth N130.6 million, Japaul exchanged 10.4 million equities valued at N3.1 million, while Chams transacted 7.8 million stocks for N1.9 million.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via dipo.olowookere@businesspost.ng

1 Comment

1 Comment

  1. Pingback: Stock Market Falls on Emergence of Tinubu as APC Presidential Candidate - Goodnewsnigeria

Leave a Reply

Economy

CitiTrust Lifts Over-the-Counter Bourse by 0.05%

Published

on

Cititrust

By Adedapo Adesanya

CitiTrust Holdings Plc played the central role in lifting the National Association of Securities Dealer (NASD) Over-the-Counter (OTC) Securities Exchange by 0.05 per cent on Thursday, August 11.

This raised the NASD market capitalisation by N550 million yesterday to N1.007 trillion from the previous day’s N1.006 trillion as the NASD Unlisted Securities Index (NSI) went up by 0.41 points to wrap the session at 765.28 points compared with 764.87 points of the previous session.

On Thursday, the stock price of CitiTrust Holdings Plc rose by 55 Kobo to N11.90 per share from the N11.35 per share it was sold in the Wednesday session.

A look at the trading activity indicated that there was an 86.5 per cent increase in the volume of securities traded at the bourse yesterday to 111,021 units from the previous trading day’s 59,538 units.

However, the value of shares transacted by market participants went down by 41.7 per cent to N2.7 million from N4.6 million just as the number of trades reduced by 43.8 per cent to nine deals from the 16 deals executed a day earlier.

AG Mortgage Bank Plc remained the most traded stock by volume on a year-to-date basis with the sale of 2.3 billion units worth N1.2 billion, (Central Securities Clearing System) CSCS Plc stood in second place with the sale of 686.5 million units worth N14.2 billion, while Food Concepts Plc was in third place with the sale of 147.8 million units valued at N128.4 million.

Also, CSCS Plc was the most traded stock by value on a year-to-date basis with a turnover of 686.5 million units valued at N14.2 billion, VFD Group Plc was in second place with the sale of 11.1 million units worth N3.3 billion, while FrieslandCampina WAMCO Nigeria Plc in third place has transacted 13.9 million units valued at N1.7 billion.

Continue Reading

Economy

Value of Naira Falls at P2P, I&E, Parallel Market Forex Scarcity Worsens

Published

on

devalue naira

By Adedapo Adesanya

The Naira further weakened against the United States Dollar in the various segments of the foreign exchange (forex) as the scarcity of hard currencies is getting worse, putting pressure on the local currency.

In the Peer-to-Peer (P2P) segment, the Nigerian currency was battered by the Dollar by N6 or 0.87 per cent to settle at N696/$1 versus the previous day’s value of N690/$1 and in the Investors and Exporters (I&E) window, the domestic currency fell by N1.50 or 0.29 per cent to trade at N430.25/$1 in contrast to Wednesday’s value of N428.75/$1 as the turnover for the session stood at $58.37 million.

Also, in the parallel market, the Naira depreciated by N8 or N1.19 per cent to quote at N680/$1 compared with the previous day’s value of N672/$1 and in the interbank segment, the domestic currency lost N5.51 against the Pound Sterling to sell for N513.10/£1 in contrast to N507.59£1 and against the Euro, the Nigerian currency went down by N4.7 to close at N433.78/€1 versus the N429.08/€1 it was sold a day earlier.

In the cryptocurrency market, the bears maintained their grip as nine of the 10 tokens tracked by Business Post pointed south, with Solana (SOL) losing 4.1 per cent to sell at $42.94.

Cardano (ADA) recorded a 2.9 per cent fall to sell at $0.5288, Binance Coin (BNB) recorded a 2.9 per cent depreciation to trade at $323.25, TerraClassicUSD (USTC) retreated by 2.7 per cent to quote at $0.0292, Bitcoin (BTC) fell by 2.5 per cent to sell at $23,939.78, Ripple (XRP) recorded a 1.2 per cent loss to trade at $0.3769, Dogecoin (DOGE) depreciated by 1.7 per cent to trade at $0.0708, Litecoin (LTC) lost 0.9 per cent to settle at $61.68, while Ethereum (ETH) declined by 0.1 per cent to sell at $1,888.23.

However, the value of the US Dollar Tether (USDT) remained unchanged yesterday at $1.00.

Continue Reading

Economy

Crude Oil Jumps 2% as IEA Forecast 2022 Demand Growth

Published

on

Crude Oil Export Sales

By Adedapo Adesanya

Prices of crude oil expanded by more than $2 on Thursday after the International Energy Agency (IEA) raised its demand growth forecast for this year.

Brent crude futures gained $2.20 or 2.3 per cent to settle at $99.60 a barrel while the United States West Texas Intermediate (WTI) crude futures rose by $2.41 or 2.6 per cent to $94.34 per barrel.

Global crude oil demand will rise by 2.1 million barrels per day this year, the IEA said in the latest monthly edition of its flagship Oil Market Report, spurred by the switch from gas to oil for electricity generation.

The new number is 380,000 barrels per day higher than the previous monthly forecast. It also means that the IEA now expects global oil demand this year to average 99.7 million barrels daily.

Supply, according to the IEA, already exceeds demand, as it hit 100.5 million barrels per day last month, with production from the Organisation of the Petroleum Exporting Countries and allies (OPEC+) adding 530,000 barrels per day in line with the production increase deal and non-OPEC+ output rising by 870,000 barrels per day.

“With several regions experiencing blazing heatwaves, the latest data confirm increased oil burn in power generation, especially in Europe and the Middle East but also across Asia,” the International Energy Agency said in its report. “Fuel switching is also taking place in European industry, including refining,” it said.

The agency also revised upwards its forecast for oil supply for the full year, noting a smaller than expected decline in Russian oil production and exports.

By contrast, OPEC cut its 2022 forecast for growth in world oil demand, citing the impact of Russia’s invasion of Ukraine, high inflation, and efforts to contain the pandemic.

OPEC expects 2022 oil demand to rise by 3.1 million barrels per day, down 260,000 barrels per day from the previous forecast. It still sees a higher overall global oil demand figure than the IEA for 2022.

OPEC+, however, is not eager to tap into this effective spare capacity, which would diminish the group’s power to respond to market emergencies with increased production.

After OPEC+’s last meeting in early August, OPEC+ referred to its “severely limited” spare capacity, which should be used with “great caution in response to severe supply disruptions”, reinforcing the IEA’s predictions that additional OPEC+ output increases are unlikely in the coming months.

Continue Reading

Latest News on Business Post

Like Our Facebook Page

%d bloggers like this: