NGX sheds N144bn as equities market extends losses

Nigeria’s equities market shed N144.54 billion in market value on Tuesday as losses in banking and insurance stocks outweighed gains in other sectors, dragging the benchmark index down by 0.09 per cent.

The Nigerian Exchange All-Share Index fell to 247,513.63 points, moderating the market’s year-to-date return to 59.06 per cent, while total market capitalisation declined to N160.71 trillion.

Despite the decline in market value, more stocks advanced than declined, with 24 equities gaining against 21 losers, translating to a market breadth of 1.14 times.

The session’s performance reflected mixed sectoral trends. The banking index fell by 0.79 per cent, while the insurance index declined by 0.38 per cent, contributing to the broader market’s negative close.

These losses were partly offset by gains in consumer goods and oil and gas stocks, whose indices rose by 0.14 per cent and 0.11 per cent, respectively. The industrial goods and commodity indices closed unchanged.

E-Tranzact International Plc, Wapic Insurance Plc, Daar Communications Plc, Livestock Feeds Plc and Chams Holding Company Plc led the gainers, while Legend Internet Plc, Omatek Ventures Plc, Secure Electronic Technology Plc, Mbenefit Insurance Plc and AIICO Insurance Plc recorded the biggest price declines.

Trading activity was mixed, with the number of deals and volume of shares traded falling even as the total value of transactions increased.

A total of 38,707 deals involving 394.20 million shares valued at N21.38 billion were recorded during the session.

The number of deals declined by 26.94 per cent, while trading volume fell by 2.76 per cent. In contrast, transaction value rose by 7.61 per cent, indicating that the lower volume of shares traded was accompanied by an increase in the aggregate value of transactions.

The positive market breadth suggests that the decline in the benchmark index did not reflect a uniform sell-off across listed equities, as more stocks advanced than declined during the session. Banking stocks recorded the steepest sectoral decline, falling by 0.79 per cent, followed by insurance stocks, which lost 0.38 per cent. Gains in consumer goods and oil and gas equities provided some counterweight but were insufficient to prevent the overall market from closing lower.