The Nigerian equities market returned to negative territory on Wednesday as sustained selling pressure, driven largely by year-end profit-taking and portfolio rebalancing, weighed on investor sentiment.

The benchmark NGX All-Share Index declined by 0.49 per cent to close at 143,064.57 basis points.

Consequently, total market capitalisation shed N444.32 billion to close at approximately N91 trillion.

Market breadth closed marginally positive but remained largely balanced, as 29 stocks advanced against 27 losers, indicating the cautious mood across the trading floor.

Leading the gainers’ chart were AIICO Insurance Plc, NCR Nigeria Plc, Ikeja Hotel Plc, Prestige Assurance Plc, and Sterling Financial Holdings Company Plc, reflecting continued bargain-hunting and selective positioning in mid-cap stocks. On the losers’ table were Learn Africa Plc, Cadbury Nigeria Plc, Meyer Plc, UPDC Plc, and International Breweries Plc, all of which came under notable sell pressure as investors locked in profits ahead of the year-end.

Sectoral performance was mixed during the session. The Insurance index emerged as the strongest performer with a gain of 2.66 per cent, buoyed by renewed interest in select underwriting stocks. The Banking index also closed higher, advancing by 0.24 per cent, supported by modest accumulation in tier-one and mid-tier lenders. The Oil and Gas index rose by 0.17 per cent, reflecting mild buying interest in energy-related counters.

In contrast, the Industrial Goods index posted the sharpest decline of 2.03 per cent, weighed down by losses in heavy manufacturing stocks, while the Consumer Goods index fell by 1.33 per cent amid selling in major food and beverage names. The Commodity sector closed flat for the session.

Trading activity improved significantly, pointing to heightened market participation despite the prevailing risk-off sentiment. Total traded volume jumped by 32.76 per cent to 738.35 million shares. Similarly, transaction value surged by 89.89 per cent to N35.54 billion, while the number of deals edged up by 2.15 per cent to 19,919 transactions.

Market operators attributed the sharp rise in turnover largely to increased institutional participation through sizeable block trades, alongside sustained retail investor activity.

Overall, the trading session reflected a market still grappling with near-term selling pressure as investors continue to reposition portfolios ahead of the end of the financial year. While higher volumes signal sustained interest in equities, analysts expect sentiment to remain cautious in the short term until clearer economic and policy direction emerges in the new year.

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