Emmanuel OchayiThe Nigerian stock market ended the week of March 21 with a sharp decline, as investors saw a loss of approximately N532 billion. The sustained sell pressure kept activities on the local bourse subdued, leaving many traders disappointed. The All-Share Index (ASI) of the Nigerian Exchange Limited (NGX) fell by 0.94 percent, contributing to a 2.65 percent decrease in the market so far this month. Despite an initial optimistic outlook, the market’s performance continued to be volatile, with investors remaining cautious.
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During the trading week that ended on March 21, the stock market experienced a significant drop. The ASI, which started the week at 105,955.13 points, closed at 104,962.96 points. The market capitalisation also took a hit, falling from N66.351 trillion to N65.819 trillion. This decline reflected the continuing pressure on key sectors such as industrial, banking, insurance, and oil and gas stocks, all of which were predominantly sold throughout the week.
While consumer goods stocks saw some demand, they were not enough to offset the losses in other sectors. Analysts had hoped that bargain hunters would come to the market’s rescue, but only one trading day showed positive movement, while four days ended in losses.
Stock Market Performance This Year
The losses recorded last week have further affected the stock market’s performance in 2025. As of March 21, the stock market’s year-to-date return moderated to just +1.98 percent, compared to the positive returns seen in the first weeks of the year. With the ongoing sell-off and lack of buying interest in some stocks, the market’s overall performance has become a cause for concern for investors and analysts alike.
Despite the market’s overall decline, some sectors showed resilience. The demand for consumer goods stocks, while mild, indicated that certain parts of the economy were still attracting attention from investors. However, these small pockets of demand were not enough to balance the overall market trend, which has been weighed down by sustained selling pressure.
Looking Ahead for the Stock Market
Looking forward, the outlook for the stock market remains uncertain. Many analysts have been cautious in their predictions, noting that while the market’s performance has been subdued, there are still opportunities for investors to look for bargains, especially in sectors showing signs of stability. However, sustained pressure in the industrial and banking sectors may continue to weigh heavily on the market.
The stock market’s recent performance highlights the challenges faced by investors in Nigeria’s economy. With global and domestic factors contributing to the uncertainty, traders and analysts will need to remain vigilant in monitoring the market’s movements in the coming weeks.
In conclusion, the Nigerian stock market’s struggles are far from over, with sell-offs continuing to drag the market down. Investors will need to carefully assess their positions as the stock market’s future remains in the balance.
Emmanuel Ochayi is a journalist. He is a graduate of the University of Lagos, School of first choice and the nations pride. Emmanuel is keen on exploring writing angles in different areas, including Business, climate change, politics, Education, and others.
