Emmanuel OchayiThe Nigerian Exchange Group (NGX) on Tuesday experienced depreciation in its equity market capitalization, losing N857 billion.
This marks the second dip in the market since the start of the year, pushing the total market cap down to N56.425 trillion. The All-Share Index (ASI) also took a hit, declining by 1.49%, closing at 103,110.15 points on Tuesday.
Join our WhatsApp ChannelThe market’s downward spiral on January 10, when it first experienced losses in the new year, saw a dip of about N638 billion, closing at N44.885 trillion. The recent depreciation can be attributed to a wave of sell-offs, impacting numerous stocks. The local bourse witnessed 61 losers and only 7 gainers, reflecting strong sell interest.
READ ALSO: NGX: Market Cap To Hit N60trn As Dangote Cement, Sugar, Refinery Surge
Prominent securities like AccessCorp, Caverton, Guinea Insurance, Linkage Assurance, Axa Mansard, Nascon Allied Industries, and Sterling Financial Holding Company suffered losses, each experiencing a 10% decline in share prices. On the flip side, real estate firm UPDC and Geregu Power emerged as gainers, with the latter experiencing a remarkable 74.11% increase in revenue, reaching N82.91 billion, its highest in the last five years.
Wema Bank doubled its profits, driven by interest income, fees, and commissions, contributing to its status as a gainer. Agribusiness player Ellah Lakes, UPDCREIT, Ecobank Transnational Incorporated, and Redstarex also made gains.
The NGX exhibited a negative trend in trading activity, with noticeable decreases in the total number of deals, traded volume, and value for the day. Total deals dropped by 8.23% to 14,579, while traded volume and value declined by 5.94% (648.95 million units) and 57.26% (N11.09 billion), respectively.
Sector-wise, the sentiment was predominantly negative, as reflected in losses across the NGX Banking, NGX Insurance, NGX Consumer Goods, NGX Oil/Gas, and NGX Industrial Goods indices.
JapaulGold emerged as the most traded security in terms of volume, with 59.80 million units traded across 498 transactions, while the United Bank for Africa led in traded value at N1.23 billion. The NGX faces a challenging landscape, with investors closely monitoring these fluctuations in the equity market.
Follow Us