LAGOS – Some capital market operators on Thursday attributed the persistent share prices drop in the nation’s bourse to political transition, fall in oil prices and poor first quarter results declared by most quoted companies.
They told the News Agency of Nigeria (NAN) in Lagos that the market was only responding to diverse dynamic factors.
Mr Bayo Adeleke, National Secretary, Independent Shareholders Association (ISAN), said that the lull in economic activities and the petrol scarcity were affecting investors’ confidence in the market.
Adeleke said that investors had resorted to alternative investment windows to ascertain the direction of the economy.
“It is a mixed bag and as we move towards change of administration more stability and confidence will lead to price gains in the market,’’ he said.
Adeleke said that investors were discouraged by unimpressive first quarter result released by some quoted companies.
Mr Ambrose Omordion, Chief Operating Officer, InvestData Ltd., attributed the persistent downward trend to weak and poor 2015 first quarter earnings released by some quoted companies.
Omordion said that the poor earnings contributed to sell pressure embarked upon by investors leading to market correction.
He, however, expressed optimism that the market would soon bounce back, adding that “this is the best time to buy stocks due to low price of equities’’. (NAN)
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