Fall in ASI enters second day

The fall in the Nigerian Stock Exchange All Share Index continued for the second consecutive day, as it dropped by 31.31 basis points at the close of trading on Wednesday.Activities on the stock market had opened with an ASI of 20,404.23 points, but the index fell to 20,372.92 points at the close of business.The market capitalisation of listed equities also declined by N10bn or 0.16 per cent, to close at N6.411tn. The capitalisation had opened at N6.421tn.The ASI had moved up marginally at the close of activities on Monday, but had commenced a free fall from Tuesday, a development which analysts described as being unhealthy for the capital market.Experts, who spoke with our correspondent on the issue, noted that the market was not recovering as expected, stressing that the drop in stock prices was eroding investor confidence.According to them, the continued fall in the Nigerian capital market may weaken the resolve of true investors who view the stock market as a business that gives returns in the medium and long terms.While encouraging investors not to lose faith in the Exchange, the analysts called on the regulators to further review their policies in order to save the complete collapse of the sector.Meanwhile, four out of five major market indicators of the market recorded depreciations in their respective indices at the close of business.Only the NSE Oil/Gas index moved up by 2.59 basis points to close at 246.82, while the NSE 30 and NSE Food/Beverage declined by 2.3 and 3.34 points to close at 909.32 and 567.20 points respectively.The NSE Banking and NSE Insurance indices dropped by 1.98 and 2.09 basis points to close at 287.96 and 150.53 points respectively.The banking sub-sector maintained its lead on the activity chart, as it recorded high volume at the close of business. Investors in the banking sub-sector exchanged 197.166 million shares valued at N762.703m in 1,981 deals.Trading in the shares of Wema Bank Plc boosted turnover in the banking sub-sector. Activities in the banking sub-sector accounted for 69.63 per cent of total turnover for the day.A total of 19 stocks recorded price appreciation, while 17 recorded loses.Forte Oil led the price gainers, rising by five per cent or 0.58 to close N12.19 per share.On the other hand, Custodian Insurance Plc led the price losers, shedding 4.98 per cent or 0.14k to close at N2.67 per share.
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