In line with our expectations, the Lagos bourse closed in red territory amid renewed profit taking activity.
The NSE ASI tanked by 1.00% week-on-week to 25,016.30 points.
Given the renewed bearish activity, most sub-sector gauges closed in negative zone.
Specifically, the NSE Industrial index, NSE Banking index, NSE Oil/Gas index and the NSE Insurance index nosedived by 3.14%, 1.81%, 1.35% and 0.67% to 1,166.83 points, 298.62 points, 225.22 points and 130.93 points respectively.
However, the NSE Consumer Goods index rose by 0.26% to 426.07 points.
Meanwhile, market activity was upbeat even as the Nigerian Stock Exchange listed additional 15,961,574,145 ordinary shares of UACN Property Development Company Plc (UPDC) of 50 kobo each at N1.00 per share.
Hence, total deals, transaction volumes and Naira votes rose by 11.47%, 17.03% and 74.46% to 22,911 deals, 1.47 billion shares and N23.55 billion respectively.
In the new week, we expect the equities market to fall marginally as new support levels are formed given the positive developments in the external sector.
Hence, we advise our clients to buy stocks with strong fundamentals and good dividend yields.