Pressured Sell-Offs Drive Bearish Momentum On The NGX AS Investors Lost N570.8bn…

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Dampened investors’ sentiments drove
bearish Momentum at the local bourse this
week as the NGX benchmark Index and market capitalisation deteriorated by 2.09% w/w to close at 49,664.07 points and N26.79 trillion respectively resulting from pressured sell-offs in some selected counters while market investors begin repositioning for portfolio rebalancing.

Consequently, the market YTD performance eased to 16.26% as investors lost N570.79 billion.

Mostly, there was increased sell-offs seen during the week in CUTIX (-15), BUACEMENT (-10%), STANBIC (-10%), TRANSCORP (-7%), and MTNN (-5%).

Further into the sectorial front, it was a mixed performance as the NGX Insurance (+6.00%) and NGX Consumer Goods (+3.00%) indexes closed the week positive.

On the contrary, the NGX Banking (- 0.89%), NGX Industrial Goods (-5.19%) and NGX Oil and Gas (-0.37%) Indexes all recorded declines on a w/w comparison.

Elsewhere, the level of trading activity during the week was in a varied region as the total traded volume advanced 114.12% w/w to 1.51 million units while the total weekly traded value decreased by 45.49% w/w to N6.12 billion and then the total deals for the week dipped (-5.03%) to 20,412 from 21,494 in the previous week.

Going into the new week, we expect the market to trade with mixed sentiment as investors position to rebalance their portfolios while they continue exhibiting minimal apathy towards risk assets like equities.

However, we continue to advise investors to trade on companies’ stocks with sound fundamentals and a positive outlook.