Nigerian stock market on Friday slipped further by 0.06 percent, as ‘week to date’ loss of 130 billion prevails. Investors, however, has continued to move towards improving fixed income securities yields.
The ‘bourse’ of Africa’s largest economy has been caught in a tailspin since the start of February, with 13 out of 15 trading session recording loses so far.
This trend led investors to adopt selling off their stocks, and investing in bonds and tresuary bills for greater Return On Investment, ROI; at a time majority of company earnings are yet to be issued.
Meanwhile, Analysts at broker cordo capital said, this week, “With the latest outcome of the NTB auction, pointing towards yeild elevation in the near long term, we expect investors to trade cautiously while taking position in stocks with attractive dividends”.
“As a result, we expect the local bourse to exhibit a zig zag pattern in the near term as the opposing forces you to uptick in yields and full year 2020 corporate earnings released dictate market performance.
Friday’s poor performance was largely responsible for depreciation in the shares of FBN holdings, Stanbic IBTC and WAPCO.
However, fall in the insurance, and oil and gas indices by 1.83 percent and 1.82 percent respectively also stocked loss.
A negative marker breadth was recorded 20 laggards emerged against 18 losers.
All share index (ASI) edged lower to 40,186.70 index point, while market capitalization slipped to ₦21,026 trillion.
Lolo Ijeoma Njoku reporting, Obinwannem News