Stock Market Down N260bn on Decline in Large, Medium Cap Stocks
Kayode Tokede Opening for trading after the Eid ul Mawlid public holiday, the stock market section of the Nigerian Exchange Limited yesterday closed on a weaker note, as investors’ investment
On the opening day following the Eid ul Mawlid public holiday, the Nigerian Exchange Limited's stock market experienced a decline, with investors' portfolios losing N260 billion. The Nigerian Exchange Limited All-Share Index (NGX ASI) dropped by 402.25 basis points, or 0.17 percent, settling at 238,682.92 basis points. For the month-to-date and year-to-date periods, the market returned -2.7 percent and +53.4 percent, respectively. The overall market capitalization value also fell by N260 billion, closing at N154.137 trillion.
Various sectors suffered losses, with the NGX Insurance, NGX Banking, NGX Consumer Goods, and NGX Oil & Gas indices declining by -0.9 percent, -0.4 percent, -0.3 percent, and -0.1 percent, respectively. Conversely, the NGX Industrial Goods index ended flat. The market's downward trend was primarily caused by the depreciation of large and medium capitalised stocks such as FTN Cocoa Processors, Zenith Bank, PZ Cussons Nigeria, Zichis Agro Allied Industry, and Oando.
Investor sentiment was pessimistic, with 39 stocks declining compared to 17 that advanced. Neimeth International Pharmaceuticals experienced the highest price gain at 9.66 percent, closing at N7.95 per share. NEM Insurance and Regency Alliance Insurance also saw gains of 6.67 percent and 6.25 percent, closing at N32.00 and 85 kobo per share, respectively.
However, Fidson Healthcare was among the biggest losers, dropping by 9.99 percent to close at N84.20 per share. FTN Cocoa Processors and International Energy Insurance also experienced significant declines of 9.94 percent and 9.74 percent, closing at N7.79 and N3.15 per share, respectively.
Total traded volume increased by 9.7 percent to 733.350 million units, valued at N34.524 billion, with 49,210 deals exchanged. Fortis Global Insurance saw the highest trading activity, with 134.006 million shares valued at N267.979 million. First Holdco, Access Holdings, Zenith Bank, and Veritas Kapital Assurance also had notable trading volumes.
Analysts concluded that the market sentiment was bearish, driven by continued profit-taking activities. Despite this, there was a slight possibility of a recovery driven by portfolio adjustments and strategic repositioning in the near future.
Written by urgent.news from This Day's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
