Nigerian Exchange lose N110bn as investors sentiment falls

The Nigerian Exchange (NGX) slumped by more than N110 billion as investors’ sentiment continues to deteriorate, with year-to-date return moderated to 40.86%. The all-share index retreated further, with pressures building across key sectoral indexes. The retreat signifies cautious trading by market participants, especially as they continue to digest the long-term effects of the new capital gains tax despite clarifications by the policymakers. The downbeat sentiment haunted top-listed companies in the financial sector, among others. Specifically, the market index, or All-Share Index, fell by 173.26 basis points to close at 144,986.51, while market capitalization fell by ₦110.19 billion, representing a decline of -0.12%, settling at ₦92.21 trillion.

Stockbrokers said investors lost ₦110 billion. Trading activities were mixed, as the total volume of all trades conducted in the market rose by +5.72%, while the total value traded declined by -45.89%. According to Atlass Portfolio, approximately 381.23 million units valued at ₦16,717.22 million were transacted across 21,827 deals. TANTALIZER emerged as the most traded, accounting for 16.08% of total trading volume in the market, followed by STERLINGNG (8.59%), UNIVINSURE (7.69%), VERITASKAP (6.91%), and ACCESSCORP with 4.23%. ARADEL led value chart, accounting for 19.23%% of the total value of all trades. NCR topped the gainers chart, up by +9.95%, followed by UPL (+9.80%), TANTALIZER (+9.79%), CAVERTON (+9.57%), UNIONDICON (+9.52%), UNIVINSURE (+9.24%), and twenty others.

A total of twenty-eight stocks depreciated as sell pressures heated up. With a price depreciation of -9.90%, LIVINGTRUST topped the worst performers’ chart, followed by MCNICHOLS (-9.00%), LIVESTOCK (-7.75%), REGALINS (-6.56%), UPDC (-6.14%), and DAARCOMM (-5.94%). Hence, the market breadth closed on a negative note, as there were 26 gainers and 28 losers. Sectoral performance was mixed. The Banking, Consumer Goods, and Oil & Gas indices declined by 0.90%, 0.02%, and 0.04%, respectively, while the Insurance index recorded a modest 0.13% gain. The industrial goods and commodity sectors closed flat. Overall market activity was subdued in line with the negative price direction. Although traded volume increased by 5.72% to 381 million units, the number of deals and total traded value declined by 21.98% and 45.89%, settling at 21,827 trades and ₦16.71 billion, respectively.