Stock market plunges N141bn in August

Stock market plunges N141bn in August
By Kayode Ogunwale

Equity transaction on the Nigerian Stock Exchange (NSE) closed the month of August negatively with N141 billion.

The market indicator, market capitalization which open the month of August at N9.620 trillion declined by 1.47 per cent to close the month at N9.479 trillion.

The index movement during the period indicates that, the NSE All-Share Index decline by 410.90 basis points of 1.47 per cent to close at 27,599.03 points from 28,009.93 points it open the month of August.

Similarly, seven of eleven sectorial indices weakened at the end of the month, three appreciated while NSE Alternative Securities Index closed flat.

The NSE Premium Index recorded the highest loss of 3.72 per cent from 1,774.14 points it open the month to close at 1,708.08 points, the NSE Banking Index followed with 2.79 per cent drop from 290.91 basis points to 282.79 points, NSE Insurance index also dropped 2.56 points to end the month with 129.28 points from 132.68 points. The NSE Pension Index that resumed the month of August with 834.55 points dropped 2.42 per cent to 814.32 points, while NSE 30, NSE Industrial and NSE Consumer Goods Indices down by 1.08 per cent, 0.71 per cent and 0.24 per cent respectively.

On the other hand, the NSE Oil & Gas index appreciated during the period under review by 2.35 per cent from 298.97 basis points it opened to close at 305.99 points, while NSE Islamic Lotus Index and NSE Main Board Index up by 0.97 per cent and 0.08 per cent respectively.

Consequently, market activities during the month witnessed slight improvement as market capitalization gain N227 billion, while the NSE All-Share Index rose by 420.77 points or 1.16 per cent.

A turnover of 5.621 billion shares worth N58.857 billion in 76,275 deals were traded in August by investors on the floor of the exchange in contrast to a total of 4.934 billion shares valued at N45.099 billion that exchanged hands last week in 73,083 deals.

The Financial Services Industry (measured by volume) led the activity chart with 4.732 billion shares valued at N34.494 billion traded in 45,113 deals; thus contributing 84.18 per cent and 58.61 per cent to the total equity turnover volume and value respectively. The Consumer Goods Industry followed with 295.755 million shares worth N12.818 billion in 13,631 deals. The third place was occupied by the Conglomerates Industry with a turnover of 268.452 million shares worth N549.162 million in 3,405 deals.

The summary of price changes shows that 18 equities appreciated in price during the month, higher than 17 equities of the previous month. Fifty five equities depreciated in price, lower than 65 equities of the previous month, while 107 equities remained unchanged higher than 98 equities recorded in the preceding month of July.

Nestle Nigeria Plc led the losers chart with N25.00 kobo to close at N825.00 kobo, followed by CAP Plc with N6.91 kobo to close at N30.09 kobo, Julius Berger Nigeria Plc with loss of N4.70 kobo to end the month at N43.69 kobo, Conoil Plc dropped N4.65 kobo to close at N20.57 kobo and Dangote Cement Plc with N4.11 kobo drop to end the month of July at N175.89 kobo per share.

However, Total Nigeria Plc led the gainers table with N58.50 kobo gain per share to close at N240.00 kobo, it was follow by Mobil Oil Nigeria plc with N8.78 kobo gain, end at N170.78 kobo and 7-Up Bottling Company Plc with a gain of N7.00 kobo per share to end July at N140.00 kobo per share.