- The Nigerian equities market experienced a sharp sell-off on Monday, wiping N1.315tn off the total value of listed equities to close the opening session of the week at N155.130tn.
- Driven by severe pricing pressure on highly capitalised and mid-tier equities, the All-Share Index fell by 0.84 per cent, shedding 2,049.65 points to settle at 241,749.11 points.
- Despite the broad market decline, trading activity rose by 18.7 per cent with 523.54 million shares worth N22.27bn crossing the floor, driven heavily by major banking and beverage tickers.
Fears of a sustained market correction deepened on the Nigerian Exchange (NGX) on Monday as the local bourse opened the trading week on a heavily bearish note.
Eko Hot Blog reports that widespread profit-taking and systemic selling pressure combined to drag down valuations, extending the market’s losing streak for a second consecutive session.
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By the close of the day’s activities, equity investors had lost approximately N1.315tn, pulling the total market capitalisation down from previous highs to settle at N155.130tn.
The benchmark All-Share Index (ASI) matched this downward trajectory, losing 2,049.65 absolute points to finish the session at 241,749.11 points.
The negative outing was primarily orchestrated by price depreciation across influential industrial, consumer goods, and financial sector counters.
Market breadth finished severely tilted in favor of the bears, with forty-four declining equities easily outpacing nineteen advancing stocks.
Leading the laggards was consumer goods manufacturer PZ Cussons Nigeria, which hit its maximum daily downward limit of 10.00 per cent to close at N81.00 per share.
Industrial heavyweight BUA Cement closely shadowed this descent, shedding 9.99 per cent of its value to close at N306.20, while logistics firm Red Star Express dipped 9.98 per cent to end the day at N22.10.
Other key decliners that compounded the market’s negative performance included NASCON Allied Industries, Cadbury Nigeria, and Tier-1 banking giant FBN Holdings.
Conversely, a handful of equities defied the prevailing market gloom. International Breweries emerged as the day’s top performing gainer, climbing 9.77 per cent to close at N14.60 per share.
The Nigerian Aviation Handling Company (NAHCO) and conglomerate UACN also recorded resilient outings, posting gains of 8.36 per cent and 8.11 per cent, respectively.
Interestingly, the broad decline in stock prices did not dampen investor participation; instead, overall transaction activity witnessed a major boost.
The total volume of shares transacted rose by 18.7 per cent, climbing to 523.54 million units valued at N22.27bn, executed across 59,945 individual deals on the trading floor.
In terms of specific volume performance, FCMB Group dominated the activity charts, trading 102.235 million shares valued at N1.019bn. International Breweries and Access Holdings also drew massive volumes, recording 26.764 million and 24.763 million shares respectively.
Meanwhile, Stanbic IBTC Holdings led the value tables, moving N2.865bn worth of shares in high-net-worth transactions.
While some investment analysts suggest that the current price dip presents lucrative entry points for long-term retail portfolios, others caution that near-term domestic macroeconomic indicators could maintain persistent pressure on the local capital market in the weeks ahead.
