APPROACH of the festive season in the domestic economy has started to generate mixed reactions among investors cum stakeholders in the Nigerian Stock Market as transactions in the market are beginning to experience decline in value.

The twin market indicators, the market capitalisation and the All-Share Index have practically tilted towards the southward movement, despite occasional market deals and volume being on the upward side growth, thus indicating huge trading in the equities market.

The festive period in the Nigerian economy, beginning from November through January of every year, is usually inundated with heavy sales in the volume of equities as most investors offload their investments to meet pressing needs. Further x-ray of the stock market last week showed that despite the cautious trading that permeated the market previous week, investors who were expected to approach the market during the fourth quarter of the year are still shying away for fear that this period of the year is normally characterised by heavy sales in shares even as this has always resulted, without exception, in the drop in the value of total listed equities.

Peep into activities on NSE

It is now a common scenario that dealing members (stockbrokers) whom investors rely on appear more confused than ever about the happenings in the market.

The dealing members would stop at nothing to berate any persons or organisations whose action or inaction is making the market to come down on its knees.

Many of the operators are already tinkering with alternative 'B' of engaging in other line of business, as the present business of stockbrokerage is no longer lucrative as it were during the market boom days.

However, to nip in the bud any activities by the operators considered injurious to the market, the President/Chairman of Council, Chartered Institute of Stockbrokers (CIS), Mr Mike Itegboje, declared recently that the Institute was determined to restore investors' confidence in the nation's capital market by instilling discipline in registered stockbrokers.

According to him, the disciplinary tribunal of the Institute is one of the machineries CIS uses to regulate the conduct of its members.

“This Institute, with proactive management, is determined to review the processes of regulating the conduct of its members in order to restore investors' confidence in the Nigerian capital market, and in doing this, we decided to re-position the disciplinary tribunal for speedy action of the cases before it and making its directions,” he said.

Transactions last week

The rise recorded in the market on Monday cut across almost all the subsectors even as the banking subsector remained the most active subsector in the day. Notwithstanding losses in major prices of equities at the day’s trading, investment in shares continued in an upbeat, just as market capitalisation rose in the day by N10 billion.

Specifically, at the close of transactions in the day, the All-Share Index rose by 31.8 basis points or 0.1per cent from 20,903.16 recorded on Friday to 20,934.96, while market capitalisation increased by N10 billion from N6.616trillion to N6,626 trillion.

The price movement chart saw 17 companies appreciating in price, led by Ashaka Cement with 4.97 per cent to close at N15.43 per share, followed by RedStar Express with 4.96 per cent to close at N2.54 per share.

NCR added 4.88 per cent to close at N7.31 per share, while Ecobank and Custodian & Allied Insurance gained 4.69 and 4.67 per cent to close at N2.01 and N2.69 per share.

On the other hand, Stanbic IBTC topped the losers chart with 5.00 per cent to close at N8.74 per share, while Pharmdeko Plc trailed with 4.89 per cent to close at N3.50 per share.

Vitafoam lost 4.88 per cent to close at N5.65 per share while African paints and Access bank shed 4.75 and 4.51 per cent to close at N3.01 and N5.51 per share respectively.

The banking subsector remained the most active stock in volume terms with 212million shares worth N1.8million in 1,999deals followed by the insurance subsector with 14million units valued at N8.7million.

In all, investors exchanged 254million shares worth N2.5billion in 3,938deals.

Tuesday recorded depreciation in investors' wealth in the market as performance indicators fell again by N14 billion or 0.21 per cent, while the index declined by 0.47 per cent or 97.4 points. Twenty two stocks depreciated compared to 16 stocks that appreciated. Oando Plc, Eternaoil Plc, IBTC Plc, Dangote Sugar Refinery Plc and Wapco Cement Plc all depreciated by 4.98, 4.95, 4.92, 4.86 and 4.74 per cent.

The corporate performance indices or the All-Share Index which measures the performance of quoted companies dropped by 97.4 points or 0.47 per cent, from 20,934.96 recorded on Monday.

A review of activities in the banking subsector showed that 50.1 million shares of UBA Plc worth N154.6 million lifted activities in the banking sub-sector while 42.6 million units of Guaranty Trust Bank Plc, valued at N619.7 million followed in 542 deals.

Transactions on the NSE continued to nosedive on Thursday, as the market capitalisation further depreciated by N106 billion or 1.6 per cent to close at N6,506 trillion from N6,612 trillion recorded on Tuesday while the All-Share Index equally dropped by 1.6 per cent or 335.45 basis points to close at 20,502.13 form 20,837.58 index points. Consequently, on the price movement chart, 30 companies depreciated in stocks while 15 others gained in value. Enterna Oil, CAP and Dangote Flour led the losers table with five per cent each to close at N4.56, N17.10 and N5.32 per share respectively while Red Star Express followed with 4.96 per cent to close at N2.30 per share.

On the gainers table, Roads topped the list with 4.98 per cent to close at N7.17 per share while Fort Oil followed with 4.93 per cent to close at N9.57 per share.

With transaction exchange in 1,889 deals, the banking subsector of the financial services sector, fuelled with the activities in the shares of FCMB and Zenith Bank, dominated in volume terms with 172.5 million shares worth N1.6 billion while the Insurance subsector,  strengthened by the activities in the shares of Mutual Benefits, followed with 73.2 million units worth N37.1 million in 230 deals.

On the whole, investors exchanged 298.1 million shares, worth N2.3 billion in 3,459 deals.

Thursday transactions closed on impressive notes, with major bench marks of the market, the All-Share Index and market capitalisation rising up further, though marginally.

The All-Share Index rose by 19.18 points to 20,521.31 over the previous 20,502.13; the total market value, market capitalisation of equities rose by N6 billion or 0.09 per cent to close at N6.512 trillion. Market analysts attributed the marginal increase recorded in the day’s trading to profit takings by the investors which were evidenced on the large volume of shares exchanged by investors in almost all the sub-sectors of the economy driven highly by the banking sub-sector.

However, investors exchanged a total of 306.5 million worth N2.6 billion in 3,709 transactions. Analysis of transactions showed the banking subsector in the financial service sector as the most active with a turnover of 200.1 million shares valued at N1.85 million in a 446 deals.

Insurance subsector followed with a turnover of 67.0 million shares worth N52.5 million in 3,723 transactions.

Oil and Gas subsector came third with a turnover of 8.7 million shares valued at N93.3 million in  248 deals.

On the whole, about 22 stocks appreciated in value with NCR Plc leading on the gainers table appreciating by 4.95 per cent to close at N8.05. The Okomu Oil Plc added 4.95 per cent to close at N20.34. Forte Oil Plc rose by 4.91 per cent to close at N10.04. Paint Company of Africa gained 4.62 per cent to close at N0.68, while Presco Plc appreciated by 4.62 per cent to close at N7.80, among other gainers.

On the downward side, about 17 stocks depreciated in value with Oando Plc losing by 4.99 per cent to close at N26.09. WEMA Bank lost by 4.92 per cent to close at N0.58. Eterna OIl Oil slid 4.82 per cent to close at N4.34. TRANSCORP fell by 4.69 per cent to close at N0.61, while Dangote Sugar dropped by 4.63 per cent to close at N5.15, among other losers.

The market closed the week at a high of 0.06 per cent by way of market capitalisation and 0.05 per cent of All-Share Index.

However, the cumulative trading for the week showed that a turnover of 1.31 billion shares worth N12 billion in 17,863 deals was recorded in the week, in contrast to a total of 8.5 billion shares valued at N24.5 billion exchanged previous week in 19,706 deals. The NSE All-Share Index depreciated by 370.75 points or 1.8 per cent to close on Friday at 20,532.41, while the market capitalisation of the 188 First -Tier equities declined to N6.52 trillion. Also, the NSE-30 Index depreciated by 16.40 points or 1.8 per cent to close at 914.99. The NSE Insurance Index appreciated by 1.70 points or 1.1 per cent to close at 151.93. However, the NSE Food/Beverage Index depreciated by 14.69 points or 2.3 per cent to close at 618.77. The NSE banking index depreciated by 4.95 points or 1.65 per cent to close at 296.06. The NSE Oil/Gas Index depreciated by 7.60 points or 3.1 per cent to close at 237.74.