The Nigerian Exchange Limited (NGX) ended Tuesday’s trading session in the red, with the market capitalisation dropping by a substantial ₦117 billion due to losses recorded in MTN Nigeria and 19 other stocks.Â
This dip reflects cautious investor sentiment and selloffs across several key sectors, particularly in large-cap and medium-cap equities.
At the close of trading, the All-Share Index (ASI) shed 185.04 points, representing a 0.17% decline, to settle at 105,931.18. Market capitalisation also slipped, closing at ₦66.577 trillion, down from the previous session’s figure of ₦66.694 trillion.
The bearish mood in the market was primarily triggered by declining share prices in heavyweight stocks, including MTN Nigeria Communications (MTNN), PZ Cussons Nigeria, Livestock Feeds, Multiverse Mining and Exploration, and SUNU Assurance. MTNN’s fall was particularly notable, as it declined by 6.07%, closing at ₦240 per share, which contributed significantly to the overall market decline.
According to market analysts at Vetiva Dealings and Brokerage, while some banking stocks may continue to attract interest due to recent gains, signs of profit-taking in the consumer goods sector are becoming more evident. This suggests that investors are positioning themselves cautiously, particularly as earnings reports begin to shape expectations across the board.
Despite the decline in market value, investor sentiment remained moderately positive, as market breadth showed 33 gainers against 20 losers. Among the top-performing stocks for the day was Legend Internet, which surged by 10% to close at ₦8.25. ABC Transport followed closely, appreciating by 9.94% to close at ₦1.88, while Cadbury Nigeria saw a 9.91% gain, ending the day at ₦32.15.
Other notable gainers included Champion Breweries, which rose by 9.79% to ₦4.71, and Eterna Plc, climbing 9.46% to close at ₦48. However, on the flip side, Livestock Feeds led the list of laggards with a loss of 9.71%, closing at ₦7.72. Multiverse Mining dropped by 9.62% to ₦7.05, and McNichols declined by 9.47%, ending the session at ₦1.72. Omatek Ventures and MTNN also registered losses, down by 9.23% and 6.07% respectively.
Trading activity, however, remained robust. The total volume of shares traded increased by 46.44%, reaching 733.05 million units worth ₦35.29 billion in 16,619 transactions. Fidelity Bank emerged as the most actively traded stock, with 285.16 million shares exchanged, valued at ₦5.77 billion. MTNN followed, with 86.85 million shares worth ₦20.93 billion changing hands. Other major contributors to trade volume included Access Holdings (35.57 million shares), Universal Insurance (29.81 million), and Guaranty Trust Holding Company (GTCO), with 28.51 million shares traded.
While short-term volatility persists, particularly around large-cap equities, the mixed performance of various sectors suggests that investors are employing selective strategies influenced by corporate earnings and broader market sentiment. Market watchers continue to advise caution, especially as companies begin to release their financials.
