Emmanuel OchayiThe Nigerian Stock Exchange (NGX) witnessed another day of downturn, marking the seventh consecutive day of losses for investors.
The NGX All-Share Index, a key indicator of market performance, took a hit, dropping by 537.44 points to close at 101,777.12 points.
This signifies a 0.53% decrease from the previous closing figure of 102,314.56 points. Simultaneously, the total market capitalization witnessed a decline, shedding N304 billion to finish at N57.561 trillion, down from the preceding value of N57.865 trillion.
In a statement regarding the market’s performance, financial analysts highlighted significant factors contributing to the day’s negative performance. They pointed to notable financial firms within the SWOOT sector, a categorization comprising leading banks and financial institutions, and the reclassification of FBN Holdings out of the SWOOT category as primary contributors to the downturn.
Market analysts expressed their views on the market’s movement, with one analyst stating, “The consistent downward trend in the NGX is concerning, especially considering the impact it’s having on investor confidence. The consecutive losses reflect ongoing market uncertainties and investor caution.”
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Despite the overall negative sentiment, there were some notable performers amidst the downturn. UPDC emerged as a standout performer, experiencing a 10% increase in its share price. However, FIDELITYBK faced significant headwinds, witnessing a notable 10% decrease in its share value, leading the pack of 32 stocks that experienced declines.
UBA claimed the title of the most traded stock by volume for the session, while MTNN dominated in terms of value traded. However, the market saw a downturn in transaction volume, with a 13.72% decrease in the number of deals compared to the previous session, concluding the day with 10,777 deals.
The market indices paint a picture of the day’s trading activities:
- NGX All-Share Index: 101,777.12 points
- % Day Change: -0.53%
- Market Cap: N57.561 trillion
- Volume Traded: 326.639 million units
- Value: N7.169 billion
- Deals: 10,777
In terms of top gainers and losers, UPDC led the gainers with a 10% increase in its share price, followed by MORISON, NEM, DAARCOMM, and OANDO. Conversely, FIDELITYBK, JAIZBANK, RTBRISCOE, GTCO, and UNIVINSURE were among the top losers.
During the latest trading session, there was a significant slump in trading volumes, with a decrease of over half compared to the previous session. This resulted in approximately 407.403 million fewer shares changing hands, culminating in a total traded volume of approximately 326.640 million shares.
Value-wise, MTNN topped the charts with trades worth N1.17 billion, followed closely by UBA at N1.11 billion. The trading session’s value mirrored the volume’s decline, plummeting by 66.79%, equating to a loss of N14.42 billion.
The latest financial update indicates a challenging period for the SWOOT group, with declining share prices within its banking division, particularly for GTCO and ZENITHBANK. However, several companies demonstrated resilience amidst market fluctuations, maintaining stable share values.
The NGX ended the day on a subdued note, primarily attributed to the underperformance of prominent banking firms. Share values for GTCO, UBA, Access Holdings, ZENITH BANK, and FBN Holdings experienced notable declines, reflecting ongoing market uncertainties.
