Nigeria’s inflation surge to 12.2% in February – NBS

*As NSE sustains negative outlook, index down by 0.71%

Inflation rate rises to 12.13% in January-NBS

Nigeria’s Consumer Price Index, CPI, which measures inflation increased by 12.20 percent (year-on-year) in February 2020, 0.07 percent points higher than the rate recorded in January 2020, the National Bureau of Statistics, NBS, has said.

Inflation rate is a quantitative measure of the rate at which the average price level of a basket of selected goods and services in an economy increases over a period of time.

This is coming even as sell pressure continued on the Nigerian Stock Exchange, NSE, with the indices dropping further by 0.71 per cent.

According to the bureau also said that month-on-month (MoM) food inflation dropped by 0.12 basis point to 0.87 percent in February from 0.99 percent in January.

On month-on-month basis, the food sub-index decreased to 0.87 percent in February 2020, down by 0.12 percent points from 0.99 percent recorded in January 2020.”

READ ALSO: Nigeria Monetary Policy Makers Balk at Rising Inflation

Meanwhile, the NSE stated that specifically, the All-Share Index (ASI) lost 162.12 points or 0.71 per cent to close at 22,543.07 compared with 22,705.19 on Monday.

Similarly, the market capitalisation dipped N85 billion to close at N11.747 trillion against N11.832 trillion on Monday.

The downturn was impacted by losses recorded in medium and large capitalised stocks, amongst which were; Dangote Cement, CAP, Ardova Plc, NASCON and International Breweries.

Analysts at Afrinvest Limited said:  “We expect the bearish sentiment to persist for the rest of the week. However, we note that there are opportunities for bargain hunting.”

Dangote Cement and NASCON led the losers’ chart in percentage terms, dropping by 10 per cent each, to close at N137.70 and N8.55 per share, respectively.

Ardova followed with a decline of 9.80 per cent to close at N13.80, while CAP lost 9.77 per cent to close at N18 per share.

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International Breweries was down by 9.57 to close at N5.20, while Lasaco Assurance, Niger Insurance and Courteville Business Solutions shed 9.09 per cent each, to close at 20k per share each.

Conversely, Access Bank, Lafarge Africa and United Capital led the gainers’ table in percentage terms, gaining 10 per cent each, to close at N6.05, N11 and N2.42 per share, respectively.

FCMB Group garnered 9.66 per cent to close at N1.59, while Cadbury and Caverton rose by 9.62 per cent each, to close N5.70 and N2.28 per share, respectively.

Transcorp increased by 9.52 per cent to close at 69k, while NPF Microfinance Bank rose by 9.41 per cent to close at 93k per share.

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However, the total volume of shares traded rose by 22.56 per cent as investors bought and sold 675.91 million shares valued  N8.06 billion in 7,368 deals.

This was in contrast with a total of 551.48 million shares worth N5.76 billion shares achieved in 6,981 deals on Monday.

Transactions in the shares of Zenith Bank topped the activity chart with 173.94 million shares worth N2.32 billion.

Guaranty Trust Bank came second with 131.06 million shares valued N2.57 billion, while FBN Holdings traded 119.27 million shares worth N478.91 million.

Access Bank sold 92.03 million shares valued N539.13 million, while United Bank for Africa transacted 31.47 million shares worth N168.89 million.

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