The Increase in the baseline interest rate and rising inflation have taken their toll on the equity market as the Nigeria Stock Exchange remained in the red zone on Thursday.
NGX depreciated by 0.12 per cent because investors are gradually reducing their exposure to high-risk investments to try risk-free asset classes in the fixed-income market like bonds, treasury bills and others.
The stock exchange was relatively quiet yesterday as traders took a back seat to consider the next move to take for better earnings.
Also, the absence of half-year results of the big boys of the bourse has not encouraged investors to buy more as a few are just cherry-picking stocks selling at low prices.
At the close of trades, 151.9 million stocks worth N2.2 billion exchanged hands in 3,447 deals compared with the 238.3 million stocks worth N3.3 billion traded in 3,814 deals at the midweek session, implying a decline in the trading volume, value and number of deals by 36.23 per cent, 35.34 per cent and 9.62 per cent apiece.
GTCO sold the highest number of shares, 33.9 million units worth N707.7 million and was trailed by UBA, which traded 14.2 million units valued at N105.4 million.
UAC Nigeria exchanged 12.5 million shares worth N139.3 million, Access Holdings traded 10.3 million stocks for N94.1 million, while Zenith Bank sold 9.5 million equities worth N207.9 million.
Like the preceding session, investor sentiment was weak as the NGX finished with 22 price losers and 13 price gainers led by Multiverse, which rose by 9.55 per cent to N1.95.
Cornerstone Insurance appreciated by 9.09 per cent to 72 Kobo, Regency Assurance grew by 8.00 per cent to 27 Kobo, AIICO Insurance expanded by 4.92 per cent to 64 Kobo, while Learn Africa went up by 4.00 per cent to N2.60.
International Breweries recorded the biggest loss yesterday as its value dropped 9.17 per cent to sell for N4.95, Caverton lost 8.80 per cent to N1.14, RT Briscoe depreciated by 8.33 per cent to 44 Kobo, Chams fell by 7.41 per cent to 25 Kobo, while LASACO Assurance decreased by 7.34 per cent to N1.01.
Meanwhile, the insurance and energy counters gained points on Thursday as they rose respectively by 0.79 per cent and 0.09 per cent but they could not rescue the market from the claws of the bears due to the 0.63 per cent, 0.41 per cent and 0.14 per cent losses posted by the banking, consumer goods and industrial goods sectors respectively.
