Investors staked N10.125 billion on 1.050 billion shares in 19,576 deals last week, compared with N9.876 billion invested in 16, 616 deals the previous week. However, the Nigerian Stock Exchange (NSE) All-Share Index (ASI) depreciated by 1.4 per cent to close at 24,826.75, while market capitalisation shed N185.7 billion to be at N12.95 trillion.
The depreciation was as a result of profit taking by investors. All other indices finished lower with the exception of NSE-Main Board, NSE Consumer Goods, NSE Lotus II and NSE Industrial Goods Indices which appreciated by 1.0 per cent.
Reacting to the performance of the market, analysts at Cordros Securities, stated that risks remain on the horizon due to a combination of the increasing number of COVID-19 cases in Nigeria and weak economic conditions.
“Thus, we continue to advise investors to trade cautiously and seek trading opportunities in only fundamentally justified stocks,” they stated.
Apart from the Nigerian market, most other countries in Africa closed bearish. Mauritius’ SEMDEX and Kenya’s NSE 20 indices recorded the highest selloffs, down 2.8 per cent and 2.1 per cent respectively. In the same vein, Ghana’s GSE Composite indices trended south, shedding 0.5 per cent. On the positive side,
Morocco’s Casablanca MASI gained 4.3 per cent, trailed by Egypt’s EGX 30 with 0.2 per cent appreciation.
Performance across the BRICS markets showed that mirrored that Brazil’s Ibovespa index led the gainers, up 4.7 per cent following the a 0.75 per cent rate cut to an all-time low of 2.25 per cent during the week. South Africa’s FTSE/JSE All-Share and India’s BSE Sens indices advanced 1.1 per cent and 2.8 per cent respectively. Russia’s RTS index also expanded by 0.9 per cent. On the other hand, China’s Shanghai Composite index surged 1.6 per cent on the back of anticipated market friendly reforms.
It was a bullish performance in Asian and Middle East markets four and five indices closed the week higher. Thailand’s SET index emerged the lone loser, down 0.8 per cent. On the positive side, Turkey’s BIST 100 and UAE’s ADX General Indices led gainers, up 3.4 per cent and 1.2 per cent in that order.
Qatar’s DSM 20 and Saudi Arabia’s Tadawul ASI indices trailed, advancing 0.9 per cent and 0.6 per cent respectively.
Performance in the developed markets was impressive, In the United States, the NASDAQ rose 4.1 per cent, trailed by S&P 500 index that garnered 2.9 per cent. France’s CAC 40 and Germany’s XETRA DAX indices advanced climbed 3.2 per cent and 2.9 per cent in that order. Similarly, United Kingdom’s FTSE All Share gained 3.2 per cent. In Asia, Japan’s Nikkei 225 and Hong Kong’s Hang Seng indices closed the week 1.4 per cent and 0.8 per cent higher in that order.