Stock Market Sheds N25bn As CBN Keeps MPC Parameter Constant

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The Nigerian equities market yesterday closed transaction on a negative note by shedding N25 billion to halt the five consecutive days gaining streak, as

The downturn was due to investors’ sell-off sentiment in some bellwether stocks, as the market awaits the release of more half-year results of listed companies.

The Monetary Policy Committee concluded its two-day policy meeting yesterday and voted to leave all policy parameters unchanged.Hence, the benchmark interest rate was retained at 11.50 per cent; asymmetric corridor remained at +100/-700 bps around the MPR; the Cash Reserve Ratio was held at 27.50 per cent; and the Liquidity Ratio was retained at 30.00 per cent.

In summary, the All-Share Index dropped by 46.93 absolute points, representing a decline of 0.12 per cent to close at 38,802.15 points. While the overall market capitalisation value lost N25 billion to close at N20.216 trillion. The market loss was driven by price depreciation in large and medium capitalised stocks amongst which are; MTN Nigeria Communications , UPDC Real Estate Investment Trust, Africa Prudential, Unilever Nigeria and International Breweries.

The market sentiment, as measured by market breadth, closed at par, recording 20 gainers as against 20 losers. Oando recorded the highest price gain of 9.86 per cent to close at N4.79, per share. Champion Breweries followed with a gain of nine per cent to close at N2.30, while FTN Cocoa Processors went up by 8.89 per cent to close at 49 kobo, per share.

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