Profit-Taking in Tier-1 Banks Drag Stock Market Down 0.38%

The domestic stock market opened the trading week on Monday on a bearish note due to sell pressure in Tier-one banking stocks.

Notably, sell-offs in shares of Guaranty Trust Holding Company (GTCO), FBN Holdings, Zenith Bank, UBA, Access Corporation, United Capital, and Nigerian Breweries contributed to dragging down market performance.

Specifically, investors incurred losses worth N222 billion or 0.38 per cent, with the market capitalisation dropping from N58.498 trillion recorded on Friday to N58.276 trillion.

Similarly, the All-Share Index also shed 0.38 per cent or 390 points, settling at 103,047.23 compared to 103,437.67 on the previous trading day.

Consequently, the Year-To-Date (YTD) return fell to 37.81 per cent.

Market breadth closed negative with 24 losers and 17 gainers.

On the losers’ chart, Abbey Mortgage Bank led by 27k to close at N2.50, Champion followed by 36k to close at N3.36 and Regency Alliance Insurance declined by 4k to close at 39k per share.

Chams also shed 16k to close at N2.06, while Consolidated Hallmark Insurance Plc lost 11k to close at N1.46 per share.

On the other side, Morison Industries Plc led the gainers’ table by 21k to close at N2.33, Omatek trailed by 6k to close at 84k per share.

Also, Computer Warehouse Group Plc rose by 40k to close at N7.15, Linkage Assurance advanced by 5k to close at 95k and Sterling Nigeria gained 25k to close at N4.95 per share.

Analysis of the market activities showed trade turnover settled lower relative to the previous session, with the value of transactions down by 82.80 per cent.

A total of 245.86 million shares valued at N3.22 billion were exchanged in 5,302 deals, compared to 2.24 billion shares at N18.73 billion in 8,527 deals posted in the previous session.

Meanwhile, Abbey Mortgage Bank led the activity chart in volume with 137.21 million shares valued at N343.03 million.

GTCO followed by 33.44 million shares worth N1.55 billion to lead the chart in value, Access Corporation sold 32.26 million shares valued at N728.1 million.

Transcorp traded 17.31 million shares worth N231.8 million and Zenith transacted 16.09 million shares worth N675.02 million.