Lagos: The Nigerian equities market closed in the red on Tuesday, as investors lost N1.141 trillion following sell-offs in large-cap, consumer goods, and insurance stocks.
Heavy sell-offs hit Daar Communications, Tantalizers, BUA Foods, Ellah Lakes, Japaul Gold, and 35 other equities, dragging market performance lower. The downturn followed the Monetary Policy Committee’s (MPC) 304th meeting, which cut the Monetary Policy Rate (MPR) by 50 basis points to 26.50 per cent. The MPC also adjusted the asymmetric corridor to +50/-450 basis points around the MPR, retained the Cash Reserve Ratio at 45 per cent for Deposit Money Banks and 16 per cent for Merchant Banks, and held the Liquidity Ratio at 30 per cent.
Market capitalisation fell by N1.141 trillion, or 0.92 per cent, closing at N124.827 trillion, down from N125.968 trillion in the previous session. The All-Share Index dropped 1,778.95 points, or 0.92 per cent, closing at 194,484.61 versus 196,263.56 on Monday. The downturn cut the year-to-date return to 24.98 per cent.
Market breadth was negative, with 40 losers against 27 gainers. Tantalizers and Daar Communications led the losers, each falling 10% to N4.86 and N2.25 per share, respectively. BUA Foods shed 9.99 per cent, finishing at N760.60; Ellah Lakes dipped 9.96 per cent, ending at N10.40; while Japaul Gold lost 9.95 per cent, closing at N3.80 per share.
Conversely, Jaiz Bank led the gainers’ chart, rising by 10 per cent to close at N12.76. Infinity Trust trailed with a 9.83 per cent rise, finishing at N19, while FCMB gained 9.72 per cent, closing at N13.55 per share. Fortis Global Insurance rose 9.09 per cent, settling at 72k, and Sterling Nigeria increased 7.50 per cent, closing at N8.60 per share.
A total of 1.14 billion shares worth N53.4 billion were exchanged across 72,218 transactions, compared to 1.3 billion shares valued at N31.5 billion traded in 95,091 deals earlier on Monday. Market activity showed a 12 per cent decline in volume, a 24 per cent drop in deals, but a 44 per cent growth in value.
Meanwhile, Japaul Gold recorded the highest volume of 102 million shares traded during the session.
