Share prices of 55 companies listed on the Nigerian Exchange Limited (NGX) depreciated last week following profit taking by investors.
The week’s performance highlights the market correction facing the stock market as investors reassess their portfolios following the substantial gains recorded earlier in the year.
Although selected stocks attracted buying interest, the recovery was not broad enough to offset losses in influential stocks, leaving the overall market sentiment negative.
Analysts emphasised that the decline also came against the backdrop of rising international oil prices, which climbed sharply amid escalating geopolitical tensions in the Middle East.
While higher crude prices could support Nigeria’s export earnings and government revenue, their broader implications for domestic fuel costs, inflation and business expenses remain important considerations for investors.
A review of the market performance last week showed that the NGX market capitalisation, which represents the total value of stocks, shed over N206 billion to close at N160.519 trillion from N160.725 trillion the previous week.
In similar manner, the NGX All Share Index closed lower at 247,222.27 points from 247,539.73 points.
Meanwhile, a total turnover of 2.024 billion shares worth N110.773 billion in 173,113 deals was traded last week by investors on the floor of the Exchange, in contrast to a total of 1.659 billion shares valued at N98.088 billion that exchanged hands the previous week in 184,632 deals.
The Financial Services Industry (measured by volume) led the activity chart with 1.111 billion shares valued at N53.908 billion traded in 81,787 deals, thus contributing 54.89% and 48.66% to the total equity turnover volume and value respectively.
The Consumer Goods Industry followed with 394.039 million shares worth N9.811 billion in 17,912 deals. Third place was the Agriculture Industry, with a turnover of 147.170 million shares worth N2.821 billion in 7,462 deals.
