A turnover of 1.8 billion shares worth N34.3 billion was recorded in 37,528 deals by investors on the floor of the Exchange last week.This volume of shares traded was however higher than 1.6 billion units valued at N32.3 billion that was exchanged in 44,915 deals during the preceding week.
The financial services industry (measured by volume) led the activity chart with 1.1 billion shares valued at N22.3 billion traded in 22,008 deals; thus contributing 61.4 per cent to the total equity turnover volume.
The conglomerates industry followed with 194 million shares worth N2.8 billion in 1,923 deals. The third place was the construction/real estate industry, with a turnover of 130.7 million shares worth N649.9 million in 556 deals.
Trading in the top three equities namely United Bank for Africa Plc, Access Holdings Plc and Transnational Corporation Plc (measured by volume) accounted for 582 million shares worth N10.6 billion in 8,849 deals, contributing 31.7 per cent to the total equity turnover.
On the price movement chart, the equities market suffered another week of losses as sell pressure in MTNN (-9.8 per cent), FBNH (-16.3 per cent), and Nestle (-11.6.per cent) caused the All-Share Index and market capitalisation to depreciate by 1.4 per cent to close the week at 98,152.91 and N55.512 trillion respectively, with the month-to-date and year-to-date returns settling at -6.1 per cent and +31.3 per cent respectively.
Similarly, all other indices finished lower with the exception NGX Insurance, NGX MERI Growth, NGX MERI Value and NGX Industrial Goods which appreciated by 0.02 per cent, 1.13 per cent, 0.09 per cent, and 0.38 per cent while the NGX ASeM and NGX Sovereign Bond indices closed flat.
A total of 15,057 units of Exchange Traded Products (ETPs), valued at N5.1 million were traded this week in 161 deals compared with a total of 31,329 units valued at N5.6 million transacted last week in 167 deals.
Also, 52,739 units of bonds, valued at N50.7 million were traded this week in 28 deals compared with a total of 126,172 units valued at N124.9 million transacted last week in 28 deals.
On what will shape the market in the next trading session, analysts at Vetiva Dealings and Brokerage said: “All in, we saw investors adopt a wait-and-see approach to the market this week, as their focus shifted to company earnings for Q1’24.
“In the coming week, we expect to see a flurry of earning releases, and this will dictate sentiment in the market; that said we envisage a mixed start to the week on Monday (Today).
Cordros Capital said: “As we have noted previously, the current negative trend is likely to persist in the short term in the absence of any positive catalysts to drive a rebound.
“However, we highlight that the current favourable entry points of beaten tickets may spark bouts of recovery, even as investors weigh earnings releases.”
Chief Research Officer of Investdata Consulting Limited, Ambrose Omordion said: “Market players have continued to digest recent macroeconomic reports and unfolding activities in the foreign exchange market about how it impacts productivity level on the nation economy going forward and attraction of foreign inflow.
“Therefore, investors should target companies with consistent track records of dividend payment, strong fundamentals and growth prospects that will support further growth in earnings which price feeds on in any market cycle.”
