The Nigerian bourse extended losses to the 2nd trading day this week as bearish sentiment persisted. The All Share Index dipped 0.5% to close at 27,272.14 points whilst market capitalization shed N42.2bn to settle at N9.3tn. The performance of the benchmark index was dragged by sell offs in DANGCEM (-0.6%), SEPLAT (-3.2%) and UBA (-2.2%). On the contrary, market activity improved as volume and value traded appreciated 252.1% and 70.1% to close at 416.8m units and N2.2bn respectively.
All Sectors Close in Red
The performance of the ASI was further highlighted in the bearish performance across sectors. The Oil and Gas index (-1.1%) depreciated the most, pulled by selloffs in SEPLAT (-3.2%) and MOBIL (-5.0%). The Banking and Industrial Goods indices dipped 0.6% and 0.3% on account of losses in STERLNBANK (-9.4%), UBA (-2.2%), DANGCEM (-0.6%) and BERGER (-5.0%). Likewise, the Insurance index declined 0.2% as a result of price depreciation in AIICO (-4.2%) and NEM (-3.5%). The Consumer Goods index dipped 0.2%.
Dampened Investor Sentiment
Investor sentiment weakened today as market breadth (advancers/decliners ratio) closed at 0.2x (from 0.8x yesterday) as a result of 6 advancing stocks against 31 decliners. WAPIC (+4.0%), TOTAL (+2.6%) and SKYEBANK (+1.5%) led gainers while STERLNBANK (-9.4%), INTBREW (-5.0%) and MRS (-5.0%) led laggards. Despite poor sentiment, performance is likely to improve in the interim as sustained sell pressure may prompt bargain hunting towards the end of the week.