By Chioma Obinagwam
Barely few hours after the much talked about flexible Forex Policy became effective, investors at the Nigerian Stock Exchange (NSE) are already beginning to react to the change, evident in the decline of key metrics on the bourse.
Data extracted from the Daily official list of the Exchange showed that the NSE All-Share index shaved 477.37 basis points or 1.63 per cent from the 29,247.27 basis points(bps) that was achieved on Friday, June 17, 2016, settling at 28,769.90 bps at the close of trading on Monday.
Similarly, the Market Capitalisation of listed equities on the main board of the NSE slumped to N9.88 trillion from the N10.04 trillion that was recorded in the at the weekend.
This downward trend goes to confirm analysts concern about the sustainability of the positive sentiments witnessed at the bourse shortly after the announcement of the new Forex policy.
Consequently, a total of 33 equities topped the laggard’s side, with Ecobank Transnational Incorporated(ETI) leading the league shedding 85 kobo or 5 per cent from the N17 opening price to close at N16.50.
This share price decline is coming on the heels of the recent approval of a dividend pay-out of $48.2 million earlier declared by the pan-African bank.
Nigerian Breweries followed with N7.44 loss; Nigerian Aviation Handling Company(NAHCO) shed 21 kobo; just as PZ-Cussons plunged N1.09, among others.
On the other hand, Neimeth International Pharmaceuticals increased by 8 kobo or 8.89 per cent to close at 98 kobo; Law Union and Rock Insurance leaped by 4 kobo; where as, Champion Breweries advanced by 25 kobo.