18 January 2016, Lagos – The declining fortunes of investors in the Nigerian stock market is indicated by a debilitating loss of N1.764 trillion in ten trading days, as the stock market maintained its free fall last week in response to further decline in crude oil price to below $30 per barrel, and the historic depreciation of the naira to N300 per dollar in the parallel market.
Meanwhile, analysts have predicted further fall this week given the persistent weakness in price of crude oil.
he market capitalisation which represents the total value of stocks traded on the Nigerian Stock Exchange, NSE opened this year at 9.850 trillion to close last Friday at N8.086 trillion. A cursory review of the Nigerian stock market performance for last week showed that investors lost over N1.208 trillion in five trading days, as market capitalisation which opened the week under review at N9.295 trillion closed last Friday at N8.086 trillion.
Similarly, another stock market performance indicator, the NSE All Share Index , ASI which opened the year at 28,642.25 points closed last Friday at 23,514.04 points, indicating a decline of 17.9 per cent of 5,128.21 points.
Meanwhile, transactions on the NSE last week showed that a turnover of 1.459 billion shares worth N14.165 billion in 15,164 deals were traded by investors on the floor of the exchange in contrast to a total of 899.604 million shares valued at N7.669 billion that exchanged hands penultimate week in 14,164 deals.
The Financial Services Industry (measured by volume) led the activity chart with 1.287 billion shares valued at N8.953 billion traded in 10,020 deals; thus contributing 88.17 per cent and 63.20 per cent to the total equity turnover volume and value respectively. The Consumer Goods Industry followed with 59.832 million shares worth N3.072 billion in 2,165 deals.
The third place was occupied by the Conglomerates Industry with a turnover of 56.606 million shares worth N152.949 million in 695 deals. Trading in the Top Three Equities namely – Guaranty Trust Bank Plc, Zenith International Bank Plc and FBN Holdings Plc.(measured by volume) accounted for 693.443 million shares worth N7.719 billion in 5,960 deals, contributing 47.51 per cent and 54.49 per cent to the total equity turnover volume and value respectively.
Exchange Traded Products, ETPs
Also traded during the week under review were a total of 3,650 units of Exchange Traded Products (ETPs) valued at N1.641 million executed in 40 deals, compared with a total of 12,016 units valued at N2.050 million transacted last week in 25 deals.
A total of 275 units of Federal Government Bonds valued at N317,435.84 were traded in 3 deals. However, there was no transaction recorded on bonds penultimate week.
Summary of price changes
Seven (7) equities appreciated in price during the week, lower than seventeen (17) equities of the penultimate week. Fifty-six (56) equities depreciated in price, higher than fifty (50) equities of the penultimate week, while one hundred and twenty-seven (127) equities remained unchanged, higher than one hundred and twenty-three (123) equities recorded in the penultimate week.