The stock market extended its losses to the second trading day of the new month as price decline suffered by MTN Nigeria Communications Plc, Stanbic IBTC Holdings Plc and Guinness Nigeria Plc pulled the Nigerian Stock Exchange (NSE) All-Share Index down by 0.17 per cent to close at 26,944.32.
The market had gained 2.4 per cent last month as against a decline in the month of October. The market rode on the back of Central Bank of Nigeria's monetary policy that restricted individuals and local firms from investing in its open market operations (OMO) auctions.
However, since trading resumed for the last month of the year, the market has been bearish. It fell by 0.04 per cent on Monday as investors took profit. The bearish trend was sustained yesterday as the NSE ASI fell further by 0.17 per cent to close at 26,944.32, while market capitalisation shed N22.3 billion to close at N13 trillion.
A total of 19 stocks depreciated compared with 13 others that added value. Ikeja Hotel Plc led the price losers with 9.7 per cent, trailed by Champion Breweries Plc with a decline of 8.8 per cent. Law Union & Rock Insurance Plc shed 8.4 per cent, just as Chams Plc went down by 7.8 per cent.
Guinness Nigeria Plc depreciated by 5.0 per cent, just as May & Baker Nigeria Plc shed 4.8 per cent. May & Baker Nigeria Plc recently signed
a contract manufacturing agreement with Sanofi Nigeria Limited, a subsidiary of the French pharmaceutical giant Sanofi. Under the agreement May & Baker would use her World Health Organisation(WHO) certified manufacturing facility to produce four product brands of Sanofi for sale in Nigeria and the West African market.
On the positive side, Okomu Oil Palm Plc led the price gainers with 9.8 per cent, trailed by eTranzact Plc with 9.6 per cent. Royal Exchange Plc chalked up 8.3 per cent, while WAPIC Insurance Plc and Jaiz Bank Plc garnered 8.3 per cent and 4.5 per cent respectively.
Other top price gainers included: Unilever Nigeria Plc (4.2 per cent); Flour Mills of Nigeria Plc (4.1 per cent); AIICO Insurance Plc (2.8 per cent) and UAC of Nigeria Plc (2.7 per cent).
In terms of sectoral performance, the NSE Insurance Index fell by 0.4 per cent, followed by the NSE Industrial Goods Index with 0.3 per cent. On the other hand, the NSE Banking Index appreciated by 0.4 per cent trailed by the NSE Consumer Goods Index that rose 0.1 per cent.