The Nigerian bourse opened the week on a negative note extending the bearish trend into the third consecutive trading day. The Benchmark index slid 0.6% to settle at 27,843.00 while YTD performance further declined to -2.8%. Market capitalisation also decreased N57.3bn to settle at N9.6tn. Market performance today was majorly dragged by sell-offs in NIGERIAN BREWERIES (-2.9%), NESTLE (-1.5%) and OANDO (-9.5%). Activity level was mixed as volume traded fell 15.7% to 331.7m units while value traded rose 4.7% to N4.8bn.
All Sector Indices Close in the Red
Sell sentiment persisted across sectors with the Consumer Goods Index declining the most, down 1.9% following sell-offs in NIGERIAN BREWERIES (-2.9%) and NESTLE (-1.5%). The Industrial Goods index followed suit, declining 0.2% on the back of losses in WAPCO (-0.3%). In the same vein, the Oil & Gas, Banking and Insurance indices depreciated 0.1% apiece dragged by profit taking in OANDO (-9.5%), ZENITH (-1.4%) and AIICO (-1.4%).
Negative Sentiments Linger
Investor Sentiment in the market remained soft as seen in market breadth which settled at 0.5x on account of 15 stocks that advanced against 28 that declined. The best performing stocks were TOTAL (+10.2%), AIRSERVICE (+9.4%) and FLOURMILL (+6.4%) while OANDO (-9.5%), TRANSCORP (-9.2%) and PZ (-5.4%) were the worst performing stocks. As investor sentiment remains weak, we perceive that H1:2016 corporate earnings scorecards will continue to shape market direction in the coming days.