Equities market begins week with ₦220bn loss

The Nigerian equities market began the trading week on a negative note, with investors losing approximately ₦220 billion on Monday.

The market’s decline was driven by sell pressure on key stocks, particularly McNichols Plc, Ikeja Hotels Plc, and FTN Cocoa.

The All-Share Index (ASI) dropped to 141,498.44 points, down from 141,845.34 points at the close of the last session. This decline caused the overall market capitalization to fall to ₦89.5 trillion from ₦89.7 trillion.

Market breadth was also negative, with 28 stocks declining while only 22 advanced. A total of 97 stocks remained unchanged. These transactions were conducted across 28,621 deals.

Despite the overall downturn, a few stocks posted gains. Royal Exchange Assurance Plc led the gainers, rising by 9.80% to close at ₦2.24. It was followed by Secure Electronic Technology Plc (up 6.67% to ₦0.80) and Chams Plc (up 6.13% to ₦3.29).

However, losses in mid-tier and penny stocks weighed heavily on market sentiment. McNichols Plc was the top loser, shedding 10% to close at ₦3.33. Ikeja Hotels Plc dropped 9.80% to ₦20.70, and FTN Cocoa fell by 8.33% to ₦5.50.

In terms of trading volume, Universal Insurance Plc was the most active stock, with 79 million shares traded in 184 deals. Zenith Bank Plc followed with 58 million shares in 1,503 deals, while Nigerian Breweries Plc recorded 32 million shares in 587 deals.

By value, Zenith Bank Plc led the market with transactions worth ₦3.8 billion, followed by Nigerian Breweries Plc (₦2.4 billion) and Guaranty Trust Holding Company (GTCO) (₦1.7 billion).

Analysts suggest the market may remain under short-term pressure as investors continue to rebalance their portfolios, driven by profit-taking and concerns over macroeconomic challenges.