The Nigerian Exchange (NGX), experienced a significant downturn yesterday, with equity investors losing N326 billion due to widespread profit taking activities.
The market’s All Share Index dropped 0.40% to settle at 140,929.60 points, while the total market value decreased to N89.20 trillion from N89.52 trillion.
Major stocks such as Dangote Sugar and Wema Bank led the decline, with Dangote Sugar plummeting 10% to N54.00 and Wema Bank down 8.27% to N18.85. Other notable losers included Access Holdings, which fell 5%, and GTCO, which dropped 3.2%.
The NGX sectoral indexes also recorded significant losses, with the Oil and Gas sector down 1.80%, Banking sector down 1.04%, Commodity sector down 0.90%, Insurance sector down 0.79%, Industrial sector down 0.60%, and Consumer Goods sector down 0.11%. These losses reflect the bearish sentiment that pervaded the market.
Market sentiment remained weak, with 35 stocks declining and 16 advancing. Despite the decline in market value, the total volume of shares traded surged 55.37% to 759.08 million units, while the value of transactions jumped 87.53% to N25.73 billion.
The NGX’s downturn is attributed to profit taking activities, which were triggered by the market’s recent gains. Investors are taking advantage of the market’s upward trend to lock in profits, leading to a decline in market value.
The NGX’s performance is expected to remain volatile in the short term, with investors closely monitoring market trends and adjusting their strategies accordingly.
