Activities on the Nigerian Stock Exchange (NSE) resumed for the week on Monday still in red with the indices dropping by 0.75 per cent, while value shed 44.41 per cent. The market capitalisation plummeted by N107 billion or 0.75 per cent to close at N14.137 trillion as against 14. 244 trillion on Friday.
Specifically, at the close of transactions yesterday, the All-Share Index (ASI) depreciated by 295.11 absolute points, representing a loss of 0.75 per cent to close at 39,028.51 from 39,323.62 at which it closed for trading on Friday. Similarly, the market capitalisation depreciated by N107 billion to close at N14.137 trillion from N14.244 trillion.
The downturn was impacted by losses recorded in medium and large capitalised stocks, amongst which are; Wapco, MRS Oil Nigeria, Guaranty Trust Bank, Zenith Bank and FBN Holdings.
Stocks market analysts noted that the decline seen in the market was due to profit booking and cautious trading that dominated the market, amidst high selling pressure and low buying volume, especially as the Nigerian market traded below its 20-day Moving Average for seven successive weeks.
Analysts at United Capital Plc said: “This week, we anticipate bargain hunting activities even as technical indicator hovers around the oversold region.”Market breadth closed negative, with 10 gainers versus 33 losers.
