The Nigerian stock market reversed Tuesday’s gains on Wednesday as renewed profit-taking across major counters triggered a broad-based sell-off, wiping approximately N648 billion from investors’ wealth.
Widespread profit-taking outweighed buying interest in selected stocks, leaving market breadth firmly negative as declining equities almost doubled those that recorded price gains.
At the close of trading, the Nigerian Exchange All-Share Index declined by 0.41 per cent, falling from an opening level of 247,984.55 basis points to 246,980.17 basis points.
In line with the benchmark index, total market capitalisation fell from N159.992 trillion at the start of the session to N159.344 trillion at the close.
Market breadth closed negative, with 45 equities recording price declines compared with 23 gainers, highlighting the dominance of profit-taking during the session.
Cornerstone Insurance Plc led the decliners, shedding 10.00 per cent to fall from N6.00 to N5.40 per share.
Legend Internet Plc also dropped 10.00 per cent, closing at N4.05 from N4.50.
Other major decliners included The Initiates Plc, which lost 9.91 per cent to close at N30.00; Guinea Insurance Plc, which declined 9.78 per cent to N0.83; and ABC Transport Plc, which slipped 9.45 per cent to N5.75.
Despite the broader bearish sentiment, insurance stocks remained in demand as investors sought bargain opportunities.
Lasaco Assurance Plc led the gainers, appreciating by 10.00 per cent to rise from N2.20 to N2.42.
CNIF gained 9.98 per cent to close at N154.30, while NEM Insurance Plc advanced 9.97 per cent to N34.20.
SUNU Assurances Nigeria Plc also rose by 9.83 per cent to N3.91, while Prestige Assurance Plc gained 7.14 per cent to close at N1.50.
Meanwhile, several major heavyweight stocks remained unchanged, helping to cushion the market from a deeper decline.
MTN Nigeria Communications Plc, Dangote Cement Plc, Seplat Energy Plc, Custodian Investment Plc and Julius Berger Nigeria Plc were among the prominent stocks that closed flat.
Market watchers expect trading to remain mixed in the near term as investors balance profit-taking with bargain-hunting opportunities ahead of upcoming corporate earnings releases.
