The Nigerian Exchange Limited recorded a slight downturn on Wednesday as investor caution and profit-taking activities dragged market capitalisation below the N130tn mark.
The benchmark NGX All-Share Index declined by 0.69 per cent, dropping from 202,559.41 points at the opening to close at 201,156.86 points. As a result, total market capitalisation fell by about N900bn to N129.125tn, down from N130.025tn at the start of trading.
Market analysts attributed the decline to a natural correction following a sustained rally that had driven stock prices to record highs in recent sessions.
Trading sentiment turned mildly bearish, with 38 stocks closing in the red compared to 31 gainers, reflecting a shift in investor mood as the session progressed.
Despite the overall dip, some equities posted strong gains. Guinness Nigeria stood out among top performers, rising by 9.92 per cent to close at N423.20. Other notable gainers included John Holt Plc, Sovereign Trust Insurance, and Linkage Assurance, each recording gains above 9 per cent.
On the losers’ chart, Red Star Express led with a 9.98 per cent decline to close at N25.70. Other major laggards included Aradel Holdings and Presco Plc, which dropped by 9.68 per cent and 9.30 per cent, respectively, contributing significantly to the market’s contraction.
Additional stocks under selling pressure included Living Trust Mortgage Bank and Daar Communications.
Meanwhile, some blue-chip stocks showed resilience, with Dangote Cement, Julius Berger, Vitafoam Nigeria, and Staco Insurance Plc closing unchanged despite the broader market volatility.
Analysts note that the current trend reflects a period of consolidation, as investors reassess their portfolios after a strong bullish run.
Looking ahead, market participants are expected to remain cautious, with attention shifting to upcoming corporate earnings reports and key economic indicators that could shape the next direction of the market.
