Nigerian stocks tumble by N391 billion after sell-off in Dangote Cement

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Market breadth, a determiner of investor’s sentiment towards trade, was positive as 22 gainers emerged relative to 15 laggards.

depreciated by 1.77 per cent or N391.3 billion on Thursday as a negative investor sentiment wiped out all the gains garnered at the preceding trading session, setting the market up for a negative return this week.

Dangote Cement, Nigeria’s largest company by market value, shed 10 per cent – the maximum daily downward movement permitted by the exchange – as hefty quantities of the firm’s shares were up for sale, triggering the fall. Sell pressure on NGX Group and Unity Bank also stoked the loss. The board NEM Insurance announced a share reconstruction plan that will see every two of the underwriter’s shares converted to one in a bid to halve its outstanding shares, an ambition it said to has got shareholders’ blessing., a determiner of investor’s sentiment towards trade, was positive as 22 gainers emerged relative to 15 laggards.

“While we believe there is some room for near-term rebound in subsequent trading sessions, we retain a month-long bearish perspective on the equities market as sell pressures resume later in the month,” said analysts at Lagos-based broker and investment bank United Capital in a note seen by PREMIUM TIMES.

The all-share index shrank by 749.94 basis points to 41,685.22. Similarly, market capitalisation declined to N21.76 trillion.SAHCO topped gainers, trading up 9.66 per cent to close at N4.88. Oando gained 8.33 per cent to close at N4.93. WAPIC rose by 8.51 per cent to N0.51. Mutual Benefits jumped to N0.26, notching up 8.33 per cent. Consolidated Hallmark completed the top 5, climbing up by 8.16 per cent to N0.53.Dangote Cement led losers, declining by 10 per cent to close at N252.

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