Nigerian Exchange Loses N260bn as Capital Rotation Lingers
Losing about N260 billion on Wednesday, the Nigerian Exchange (NGX) All-Share Index (ASI) extended its downtrend into midweek, amid market-wide sell pressure that has persisted for 11 consecutive trading sessions.
Stock market key performance indicators declined by 0.17%, reflecting a broad-based sell-off in medium- and large-cap stocks across key sectors. The market started bleeding after the Central Bank lifted restrictions on OMO bill participation.
Some stockbrokers said the downtrend is a significant sign of an overbought market.
Notable decliners included ZENITHBANK, FCMB, OANDO, WEMABANK, among others. Specifically, ZENITHBANK (-2.13%), INTBREW (-3.96%) and JAIZBANK (-7.69%) masked the gains recorded in FIRSTHOLDCO (+0.86%), NB (+0.72%) and DANGSUGAR (+1.47%).
The market index fell by -402.25 basis points to close at 238,682.92, while market capitalisation edged lower by ₦259.76 billion to close at ₦154.14 trillion.
Total volume of all units traded and the total value of all transactions increased by +9.66% and +44.90%, respectively. Stockbrokers reported that approximately 733.35 million units, valued at ₦34,524.11 million, were transacted in 49,210 deals.
FTGINSURE topped the value chart, accounting for 18.30% of all transaction units executed, followed by FIRSTHOLDCO (12.15%), ACCESSCORP (4.46%), ZENITHBANK (4.22%), and VERITASKAP (3.91%).
FIRSTHOLDCO accounted for 32.13% of the total value of all trades, making it the most actively traded on the exchange. NEIMETH led the gainers chart, up +9.66%, followed by NEM (+6.67%), REGALINS (+6.25%), LINKASSURE (+5.62%), CMFC (+2.84%), NPFMCRFBK (+2.53%), and ten others.
A total of forty-one stocks depreciated. With a price depreciation of -9.99%, FIDSON topped the worst performers’ chart, followed by FTNCOCOA (-9.94%), INTENEGINS (-9.74%), LIVESTOCK (-9.43%), OMATEK (-9.42%), and CAVERTON (-9.09%).
Hence, market breadth closed on a negative note, with 16 gainers and 41 losers. Sectoral performance was negative today, with four of the five major market sectors declining.
The Insurance sector led the decline by -0.94%, followed by the Banking sector (-0.41%), the Consumer goods sector (-0.28%), and the Oil & Gas sector (-0.11%). Only the industrial goods sector increased by a marginal 0.001%. Global Equities Markets Gain Momentum as Energy Costs Ease
