Bears Grip Nigerian Equities Market As ASI Dips 0.12% During The Week

The Nigerian Equities market ended on a bearish note, as the NGX All-share Index which is the benchmark index measuring the average performance of stocks, depreciated by 0.12% from 37,994.19 points to close at 37,947.18 points.

This week, investors lost about N25 billion as the market capitalisation also dipped from N19.79 trillion in the previous week to N19.77 trillion as of 16th July 2021.

According to the market performance report of the NGX for the week ended 16th July 2021, Twenty-nine (29) equity stocks appreciated during the week, lower than forty-four (44) in the previous week. Thirty-two (32) equities depreciated, which is higher than twenty-two (22) equities in the previous week, while ninety-five (95) equities remained unchanged higher than ninety (90) equities recorded in the previous week.

Equity Market Performance

Trading activities were lesser this week in both volume and value as investors on the floor of the Exchange traded a total of 1.01 billion shares worth N10.92 billion in 17,297 deals compared to a total of 1.35 billion shares valued at N12.14 billion that exchanged hands last week in 21,581 deals. 

• The financial services sector led the activity chart yet again with a total volume of 732.418 million shares valued at N7.21 billion traded in 9,131 deals.  Trading activities in just the financial services industry accounted for 72.62% and 66.04% of the total equity turnover volume and value respectively.
• The Conglomerates Industry followed with 52.93 million shares worth N170.27 million in 656 deals. The third place was ICT Industry, with a turnover of 52.716 million shares worth N1.806 billion in 701 deals.
• Guaranty Trust Holding Company Plc, United Bank for Africa Plc, and Zenith Bank Plc (measured by volume) were the three most traded equities on the stock market this week. In aggregate, they traded 261.74 million units of shares worth N5.81 billion in 3,498 deals, contributing 25.95% and 53.22% to the total equity turnover volume and value respectively.
• In the same trajectory with the benchmark index, all other indices finished lower with the exception of NGX Banking, NGX AFR Div Yield, NGX MERI Growth, NGX Oil/Gas, and NGX Sovereign Bond indices which appreciated by 0.09%, 0.32%, 0.15%, 1.81%, and 0.64% respectively, while the NGX Premium, NGX ASeM, and NGX Growth Indices closed flat.

Top gainers

Exchange-Traded Products (ETPs)

There was a significant drop in the trading of ETFs this week. A total of 7,403 units were traded, 78.3% less than the 34,123 units traded in the prior week. Also, the value of units traded declined by 37.9% week-on-week from N784,264.645 in the prior week to N486,759.25 as of July 16, 2021. 

The 7 ETFs traded during the week are STANBICETF30, MERVALUE, NEWGOLD, LOTUSHAL15, VETBANK, VETGOODS, and VETGRIF30. 

Fixed Income Market

On Thursday, 15th July 2021, a N10,000,000,000 Senior Secured bond due 2028 under the C&I Leasing Plc’s N20 Billion Bond Issuance Programme, with a tenor of 7 years and on the fixed interest rate basis of 15.5% was listed on the Exchange. 

A total of 29,583 units valued at N29.81 million were traded this week in 12 deals compared with a total of 147,59 units valued at N173.17 million transacted last week in 15 deals.

The bond transacted during the week were; FGSUK2027S3, FG132036S2, FGS202160, FG9B2022S1, and FGSUK2025S2.