The Nigerian Exchange (NGX) closed last week in negative territory as sustained sell pressure wiped out ₦2.83 trillion from investors’ holdings, reducing total market capitalization to ₦94.99 trillion.
The All-Share Index (ASI) dropped by 2.99% to 149,524.81 points amid profit-taking and caution triggered by geopolitical tensions surrounding the U.S.–Nigeria diplomatic standoff.
According to Cowry Asset Management, the loss represents a 2.99% contraction in investors’ wealth over five trading sessions, though the market still maintains an impressive year-to-date gain of 45.27%.
Market breadth heavily favoured the bears, with 20 gainers against 75 losers, indicating widespread negative sentiment. Trading activity also slowed, with total deals down 8.82% to 145,518, while traded volume and value plunged by 52.19% and 26.4% to 3.58 billion units and ₦107 billion, respectively.
Sectoral performance was broadly weak, led by the banking sector’s 3.85% decline following selloffs in major tier-one stocks. The Insurance Index fell by 7.56%, while Consumer Goods and Oil & Gas indices declined 2.54% and 4.80%, respectively. Industrial Goods and Commodities also recorded mild drops of 1.09% and 1.63%.
Despite the overall bearish sentiment, selective buying supported a few gainers, including NCR (+20.9%), EUNISELL (+20.2%), UNIONDICON (+9.9%), HONYFLOUR (+9.5%), and UPDC (+6.8%).
On the flip side, SOVRENINS (-28.2%), CILEASING (-20.2%), SKY AVN (-19%), BERGER (-17.4%), and INTENEGINS (-17%) topped the losers’ chart amid weak retail participation.
Analysts said the market may remain cautious in the coming weeks as investors continue profit-taking while monitoring inflation trends, exchange rate stability, and corporate earnings updates.
Cowry Asset advised investors to focus on fundamentally strong and defensive stocks that can withstand short-term volatility, noting that underlying market fundamentals remain relatively stable despite temporary pullbacks.
