Investors sold banking shares as Nigerian shares crashed to one month low
Nigerian shares shed 1.5 per cent on Monday in late trades to drop to one month low as investors sold off shares from the relatively liquid banking sector.
The stock market, hit by a global risk-off sentiment, fell for the sixth straight day to 42,633 points, a level last seen in January.
Investors have been closing local positions on concern that rising global inflation would lead to higher interest rates in developed economies and draw capital away from emerging markets.
Nigeria’s benchmark index has slipped from its January highs but is still up 12.8 per cent so far this year.
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The index of Nigeria’s top 10 lenders declined 3.78 per cent to lead the main index lower.
First Bank of Nigeria Holdings dropped 5 per cent, while Fidelity Bank and Guaranty Trust Bank fell more than 4.5 per cent each.
Top decliners include Eterna Oil 9.67 per cent. Equity Assurance and Aiico Insurance each down more than 8 per cent.
The Nigerian Stock Exchange was founded in 1960 and today services the largest economy in Africa.
The NSE, a registered company limited by guarantee, is licensed under the Investments and Securities Act (ISA) and is regulated by the Securities and Exchange Commission (SEC) of Nigeria.
