NGX sheds N71bn as stock market declines

The Nigerian Exchange closed Tuesday’s trading session on a negative note as the equities market shed about N71bn in market capitalisation, following losses recorded in several bellwether stocks.

At the close of trading, the All-Share Index fell by 112.22 points, or 0.08 per cent, to settle at 141,546.78 basis points compared with 141,659.00 points recorded in the previous session. The market capitalisation also declined from N89.671tn to N89.600tn, representing a loss of N71bn for investors.

The downturn was driven by sell-offs in stocks such as Austin Laz & Company, Deap Capital Management & Trust, FTN Cocoa Processors, Regency Alliance Insurance, and Champion Breweries.

Trading data showed that a total of 414.98m shares valued at N12.94bn were exchanged in 25,383 deals, representing a 25 per cent decline in volume, a 46 per cent decline in turnover, and a 20 per cent decline in deals compared with the previous session.

In all, 128 listed equities participated in the day’s trading, ending with 23 gainers and 27 losers. Custodian & Allied Insurance topped the gainers’ chart, rising 9.94 per cent to close at N44.80 per share. It was followed by Multiverse Mining and Exploration, which appreciated 9.68 per cent to N13.60 per share, while Eunisell Interlinked and E-Tranzact International gained 9.45 per cent each to close at N27.80 and N17.95 per share, respectively.

On the other hand, Austin Laz & Company led the losers’ table, depreciating 6.27 per cent to N2.69 per share. Deep Capital Management & Trust fell 5.56 per cent to N1.70, and FTN Cocoa Processors declined 4.84 per cent to N5.90, while Regency Alliance Insurance and Champion Breweries dropped 4.40 per cent and 4.26 per cent to close at N1.74 and N15.30 per share, respectively.

Guaranty Trust Holding Company recorded the highest volume and value of trades, with 32.9m shares worth N3.12bn exchanged. Secure Electronic Technology followed with 32.5m shares, while United Bank for Africa and Chams Plc traded 26.2m shares and 22m shares, respectively.

In terms of market indices, performance was broadly negative. The Top 30 Index fell 0.15 per cent, while the Premium Index shed 0.16 per cent. The Pension Index also lost 0.10 per cent. However, the Oil & Gas Index rose 0.14 per cent, and the Industrial Index closed flat.

Despite the day’s dip, the market has sustained a year-to-date gain of 37.52 per cent, reflecting resilience in investor appetite for Nigerian equities. Analysts noted that the market may continue to experience mixed sentiment in the short term as investors rebalance their portfolios ahead of third-quarter earnings reports.