The Nigerian stock market ended Thursday on a negative note as widespread sell pressure among mid- and large-cap stocks caused investors to lose about N274 billion in market value. This dip follows earlier signs of bearish activity in the week, raising concerns about investor sentiment.
At the close of trading, the benchmark All-Share Index (ASI) of the Nigerian Exchange Limited (NGX) fell by 435.17 points, representing a 0.40 per cent decline, to finish at 109,183.93 points. As a result, the total market capitalisation dropped from N68.87 trillion to N68.6 trillion.
The downturn came even as trading activity improved significantly. A total of 746.95 million shares worth N18.20 billion were traded in 26,174 deals. Compared to the previous day, this represents a 12 per cent rise in volume, a 40 per cent increase in value, and a 35 per cent jump in the number of deals.
Out of the 128 equities that traded, only 22 gained while 36 declined, showing the dominance of sellers in the session. The biggest gainer for the day was Union Homes Real Estate Investment Trust, which rose by 9.97 per cent to close at N50.75 per share. Red Star Express followed closely with a 9.91 per cent gain to end at N6.10. RT Briscoe added 9.57 per cent to close at N2.29, while Sovereign Trust Insurance appreciated by 9.37 per cent to N1.05.
On the losing end, Chellarams and May & Baker Nigeria suffered the most, both dropping 9.96 per cent to close at N11.75 each. Linkage Assurance declined by 9.88 per cent to N1.46, Omatek Ventures fell by 8.82 per cent to N0.62, and McNichols lost 8.70 per cent to close at N2.10.
Fidelity Bank was the most actively traded stock by volume, recording 137 million shares. It was followed by Japaul Gold and Ventures with 81.7 million shares, United Bank for Africa (UBA) with 60.8 million shares, and Tantalizers with 43.5 million shares.
Sectoral performance was largely negative. The NGX Top 30 Index dropped by 0.48 per cent, the Premium Index fell by 0.19 per cent, and the Pension Index experienced the largest decline of 0.81 per cent. The Main Board Index also declined by 0.50 per cent, while the Industrial Goods Index dipped slightly by 0.01 per cent. The Oil and Gas Index remained flat.
Despite the daily losses, the market’s year-to-date return still stands positive at 6.08 per cent, showing that overall investor performance has remained strong since the beginning of the year. However, week-to-date performance now reflects a slight loss of 0.26 per cent, suggesting caution among investors heading into the weekend. Meanwhile, the Main Board and Pension indices have returned 7.53 per cent and 13.54 per cent respectively this year, pointing to investor confidence in selected segments.
This bearish performance follows a N70 billion loss recorded just a day earlier, when the market reversed its earlier gains. Analysts attribute the persistent sell-offs to investors locking in profits, concerns about inflation, and cautious trading ahead of further economic data releases and policy directions from the Central Bank of Nigeria.
