The Nigerian equities market began the week on a negative note as profit-taking and weak investor sentiment dragged the NGX All-Share Index (ASI) down by 0.25 percent to close at 153,739.11 basis points on Monday.

The decline trimmed the year-to-date return to 49.37 percent. Market capitalization also shed N245.88 billion to settle at N97.58 trillion, reflecting sustained sell-offs across key sectors.

Market breadth remained weak, with 37 losers outweighing 19 gainers, indicating a largely bearish tone.

Top gainers for the day included Union Dicon Salt, Omatek, NAHCO, International Breweries, and Champion Breweries. On the other hand, major laggards were Honeywell Flour, Northern Nigeria Flour Mills, Aradel Holdings, Japaul Gold, and Ikeja Hotel, all of which recorded notable price declines.

Sectoral performance mirrored the overall market weakness, with four of the major indices closing in the red. The Oil & Gas Index led the decline with a 3.94 percent loss, followed by the Commodity Index with a 1.85 percent dip, the Insurance Index with a 1.48 percent depreciation, and the Banking Index with a 0.22 percent loss. In contrast, the Consumer Goods Index rose by 0.49 percent, while the Industrial Goods sector closed flat.

Trading activity reflected mixed dynamics. Total volume traded fell sharply by 87.94 percent to 627.5 million shares, while transaction value declined by 44.64 percent to N25 billion. Interestingly, the number of deals rose by 19.04 percent to 36,425, suggesting increased participation by retail investors amid reduced institutional liquidity.

Market watchers attributed the downturn to cautious trading as investors reassess positions ahead of upcoming corporate disclosures and potential policy signals. Despite the current pullback, they noted that market fundamentals remain relatively strong, supported by robust third-quarter earnings and ongoing macroeconomic reforms that continue to shape investor sentiment.

At the close of trading, the market outlook remained cautious, with analysts expecting continued sectoral rotations and profit-taking in the near term.

 

Copyright © 2022 Nigerian Tribune Provided by SyndiGate Media Inc. (Syndigate.info).