ASI falls as more stocks record losses

The Nigerian Stock Exchanges All Share Index fell at the close of trading activities on Thursday, following a sprawling record of losses by 31 stocks. The huge losses eclipsed the seven that appreciated in price.The ASI fell by 109.45 basis points or 0.55 per cent to close at 19,961.18 points. It had opened the day at 20,070.63 points.Similarly, the market capitalisation of listed equities fell by N34bn to close at N6.282tn. The market had opened with a capitalisation of N6.316tn on Thursday.The ASI figure for the day was the lowest recorded in almost eight years. The market had witnessed downward movements in the past five months. Subsequently, analysts had alerted the authorities to the unsavoury development that investors, both local and foreign, were leaving the stock market in large numbers.Even now, stockbrokers, shareholders and experts have continued to express doubts on the possible recovery of the market in the near future. According to them, until the market regulators undertake a strategic move, the capital market may experience a worse crash by next month.They said that usually investors sell their stocks in December in exchange for cash to celebrate the Yuletide and other festive seasons.However, against the run of general opinion, a few investors had expressed optimism that the market capitalisation might improve marginally on Thursday. It, however, fell by N34bn, a development that triggered spontaneous reactions among stakeholders.The market capitalisation had fallen by a whopping sum of N72bn at the close of business on Wednesday, thus "weakening" the interest of shareholders in the stock market.Four major market indices recorded depreciation in points at the close of activities on Thursday, while one appreciated.The NSE Insurance appreciated marginally by 0.09 basis points to close at 144.05, while the NSE 30 and NSE Food/Beverage decreased by 4.4 and 1.36 points to close at 890.95 and 565.39 points, respectively.The NSE Banking and NSE Oil/Gas also depreciated by 4.51 and 0.66 points to close at 278.36 and 244.13 points, respectively.The banking sub-sector maintained its lead on the activity chart in terms of volume traded. Investors in the banking sub-sector exchanged a total of 81.294 million shares, valued at N609.37m in 1,564 transactions.Trading in the shares of First Bank of Nigeria Plc and United Bank for Africa Plc drove turnover in the banking sub-sector. NCR Plc led the price gainers, rising by 4.97 per cent or 0.42 to close at N8.87 per share.Stanbic IBTC Bank Plc led the losers list, shedding five per cent or 0.40 to close N7.60 per share.
Click here to read full news..