Bearish sentiments persisted at the stock market Wednesday driving the Nigerian Stock Exchange (NSE) All-Share Index (ASI) further down by 0.58 per cent to 36,748.18. This is the lowest since November 2017.
Selling pressure in banking and insurance stocks were highly instrumental to the negative session recorded at the equities market. Out of the 23 price losers, 13 counters were from banking and insurance sectors. This development led to a 2.0 per cent depreciation in the NSE Banking Index.
In all, FBN Holdings Plc led the losers’ table with 9.7 per cent to close at N9.25, trailed by Oando Plc. Wema Bank Plc shed 8.8 per cent, while Caverton Offshore Support Group Plc and Consolidated Hallmark Insurance Plc went down by 7.1 per cent apiece.
On the other hand, Continental Reinsurance Plc led the price gainers with 10 per cent to be at N1.65. PZ Cussons Nigeria Plc followed with 9.7 per cent, just as International Breweries Plc advanced by 9.3 per cent. Japaul Oil & Maritime Services Plc garnered 9.1 per cent.
Market analysts said in the short to medium term, losses are likely to persist, amidst continued risk-off sentiments in emerging markets and the absence of a near-term one-off positive catalyst.
“However, still-positive macroeconomic fundamentals remain supportive of gains in the long term,” analysts at Cordros Capital Limited said.