Market drops 1.36% to global reaction to Brexit

Trading on the Nigerian Stock Exchange (NSE), on Friday, ended on a negative note, halting a three-day rally due to profit taking and exit of Britain from European Union (EU).

The News Agency of Nigeria (NAN), reports that the market capitalisation lost N145 billion or 1.36 per cent to close at N10.526 trillion against N10.671 trillion achieved on Thursday.

Mr Ambrose Omordion, the Chief Operating Officer, InvestData Consulting Ltd., attributed the pull back to profit taking and global market reaction to Brexit (exit of Britain from EU).

Omordion urged investors not to panic over the development but should target valuable stocks with huge upside potentials.

He explained that some investors were booking profits from recent gains recorded by the market in the last couple of days.

Omordion said Britain would seek new trade accords with countries around the world with the exit; noting that quitting the EU would cost Britain access to the EU's trade barrier-free single market.

NAN reports that Nigerian Breweries topped the losers' chart, shedding N4.49 to close at N145 per share.

Dangote Cement shed N3.76 to close at N200.20 and Unilever lost 70k to close at N17 per share.

Zenith Bank also depreciated by 70k to close at N17, while Flour Mill shed 25k to close at N23.75 per share.

Conversely, Glaxosmithkline recorded the highest gain to lead the gainers' table with a gain of N2.05 to close at N22.12 per share.

Julius Berger came second with N1.90 to close at N44, while Conoil gained N1.04 to close at N22 per share.

Presco improved by 80k to close at N36.50 and Okomu Oil garnered 50k to close at N31.50 per share.

NAN also reports that a total of 444.51 million shares worth N3.70 billion were exchanged by investors in 5,565 deals.

This was against the 450.52 million shares valued at N5.71 billion transacted by investors in 6,360 deals on Thursday.

NEM Insurance was the most active, trading 91.35 million shares worth N85.89 million.

It was trailed by Transcorp with 50.58 million shares valued at N100.11 million and Zenith Bank sold 41.48 million shares worth N699.30 million.

FBN Holdings traded 36.18 million shares valued at N150.38 million and investors staked N853.02 million on 35.83 million shares of Guaranty Trust Bank.