Economy

Bad Market: Naira slumps before dollar, exchanges N424.88; NGX Key indicators drop marginally

NGX: Market extends losing streak, down 2.26%; Naira gains against dollar by 0.52%
Written by Maritime First

The Naira on Wednesday lost to the greenback at the Investors and Exporters window, exchanging at 424.88 to the dollar against 421.00 traded on Tuesday, a 0.80 per cent depreciation.

The open indicative rate closed at N421.80 to the dollar on Wednesday.

Also read: Stock Market Closes Negative amid sell-off, as Naira exchanges at N421 to Dollar

An exchange rate of N444.00 to the dollar was the highest rate recorded within the day’s trading before it settled at N424.88.

The naira sold for as low as 410 to the dollar within the day’s trading.

A total of 112.83 million dollars was traded in foreign exchange at the official Investors and Exporters window on Wednesday.

In another development, activities on the Nigerian Exchange (NGX) Ltd., on Wednesday closed barely changed, recording a marginal drop of 0.003 per cent.

The benchmark index, All-Share Index (ASI) dropped by 1.5 point or 0.003 per cent to close at 51,802.48 points from 51,803.98 points recorded on Tuesday.

Also, the market capitalisation declined by N810.63 million to close at N27.927 trillion from N27.928 trillion posted on Tuesday.

Sell-offs in stocks of MTN Nigeria, Guaranty Trust Holding Company (GTCO), Ecobank Transnational Incorporation (ETI) amongst others made the market still.

Analysts at Vetiva Dealing and Borakage said, “Despite improvement in market sentiments, the banking sector experienced sell pressure with names like GTCO and UBA closing the day lower.

“We anticipate further profit taking in that space as investors may begin to take profit in recent gainers such as FBNH.”

The market breadth was positive as 17 stocks declined relative to 14 gainers.

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Ikeja Hotel recorded the highest price gain of 10 per cent to close at N1.21 per share.

Royal Exchange Assurance followed with a gain of 7.29 per cent to close at N1.03 per share, while NPF Microfinance Bank rose by 7.27per cent to close at N1.77 per share.

Fidelity Bank rose by 4.88 per cent to close at N3.44, while Glaxosmith gained 4.84 per cent to close at N6.50 per share.

On the other hand, UPL led the losers’ chart by 9.62 per cent to close at  N2.35 per share.

Chams and Linkage Assurance depreciated by eight per cent  and 6.90 per cent each to close at 23k and 54k per share, respectively.

Cutix followed with a decline of 6.25 per cent to close at N2.25 per share while FTNCocoa lost 5.71 per cent to close at 33k per share.

The total volume of stocks traded was 416.47 million units, valued N3.46 billion, and exchanged in 4,466 deals.

Transactions in the shares of Mutual Benefits Assurance led the volume chart with 212.51 million shares valued at N53.12 million.

GTCO followed with 42.51 million shares worth N867.54 million, while United Bank for Africa (UBA) traded 23.99 million shares valued at N179.04 million.

First Bank of Nigeria (FBNH) traded 23.16 million shares valued at N262.18 million, while Accesscorp transacted 22.53 million shares valued at N208.54 million.

 

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Maritime First