Market Cap (N’bn) | 12,673.2 |
Market Cap (US$’bn) | 41.4 |
NSE All-Share Index | 36,617.45 |
Daily Performance % | (0.9) |
Week Performance % | (1.4) |
YTD Performance % | 36.3 |
Daily Volume (Million) | 184.2 |
Daily Value (N’bn) | 3.3 |
Daily Value (US$’m) | 10.9 |
Market Extends Losses as MSCI Reviews Index Constituents… NSE ASI down 91bps
The Nigerian Equities market extended losses at the close of trade as the Morgan Stanley Capital International (MSCI) released the results of its semi-annual index review in which FORTE (0.0%), FBNH (-2.5%), GUINNESS (+1.0%) and PZ (-8.9%) were removed from its Main Frontier Markets Index which tracks large- and mid-cap stocks in the frontier universe. All, bar FORTE (0.0%), were reclassified into its MSCI Frontier Small Cap Index. Additionally, CADBURY (0.0%), DIAMOND (-1.8%), FCMB (-1.8%), GLAXOSMITH (0.0%), SKYE (0.0%) and STERLING (-2.0%) have been deleted from the MSCI Frontier Markets Small Cap Index.
All changes will be implemented as of the close of market on November 30, 2017. Relatedly, the local Bourse continued its descent as the All Share Index fell 91bps to settle at 36,617.45 points while market capitalization pared N116.3bn to N12.7tn.
Accordingly, YTD return moderated to 36.3%. The day’s negative close was primarily due to price depreciation in DANGCEM (-2.8%). Similarly, activity level softened with value and volume traded declining 2.7% and 22.7% to N3.3bn and 184.2m units respectively.
Industrial Goods Index Leads Losers
Sector Performance was largely negative as 3 of 5 indices closed the trading session in the red wile 1 closed flat and the other gained on previous close. The Industrial Goods index lost the most, down 1.5% on account of selling pressures in DANGCEM (-2.8%).
Similarly, the Insurance index shed 1.0%, dragged by losses in MANSARD (-2.4%), NEM (-4.8%) and LINKASSURE (-4.8%), while the Consumer Goods index lost 0.9% following price depreciations in PZ (-8.9%), UNILEVER (-5.0%) and NIGERIAN BREWERIES (-0.5%).
On the flipside, the Banking index, up 1.0%, was the day’s lone gainer due to bargain hunting in GUARANTY (+2.3%) and ZENITH (+1.1%) whereas the Oil & Gas index closed flat.
Investor Sentiment Improves
Investor sentiment improved as market breadth, albeit still negative, increased from 0.3x at previous close to 0.6x (15 advancers/ 25 decliners) today. The day’s top gainers were AGLEVENT (+8.5%), REDSTAREX (+5.0%) and LEARNAFRCA (+4.1%) while CILEASING (-9.0%), PZ (-8.9%) and UNILEVER (-5.0%) led laggards.
Although we expect the MSCI index review outcome to weigh on stocks which are being deleted or reclassified, we do not rule out the potential for bargain hunting on some large cap stocks which have dragged market performance in prior trading sessions.