Investors Lose N1.17tn as NGX Slumps Again

The Nigerian Exchange began the week on a bearish note as investors lost more than ₦1.17 trillion on Monday, wiping out the slight recovery recorded last week.

The sharp decline came despite the addition of 1.96 billion ordinary shares of Chams Holding through a private placement, indicating the actual market downturn was even more severe.

The losses follow a turbulent previous week in which the market shed over ₦4 trillion, triggered by the Federal Government’s newly introduced capital gains tax policy. Although the market staged a rebound towards the end of the week, it was not strong enough to reverse earlier declines.

Investor sentiment remained negative, with profit-taking dominating trading across major sectors.

The All-Share Index fell by 1.26 per cent to close at 145,159.77 points, while market capitalisation dropped to ₦92.32 trillion after losing ₦1.172 trillion in a single session.

Market analysts noted that pressure was particularly heavy in the industrial goods sector, which plunged by 4.48 per cent. Major stocks such as Dangote Cement, Transcorp, AccessCorp and Eunisell recorded sharp declines as the market struggled to find support despite October’s headline inflation easing to 16.05 per cent.

Trading activity also weakened significantly. Total traded volume dropped by 92.64 per cent, while the total value of transactions fell by 26.88 per cent. At the close of trading, roughly 360.60 million shares worth ₦30.89 billion had exchanged hands across 27,975 deals.

Tantalizer dominated market activity in terms of volume, followed by Aradel, GTCO, Aso Savings and SterlingNG.

Aradel, however, led the chart for value, accounting for more than two-thirds of the day’s total market turnover.

Sovereign Insurance emerged as the top gainer after advancing by 9.97 per cent. NCR, Tantalizer, Prestige Assurance, Eunisell and Ikeja Hotel also posted strong appreciation, closing among the day’s leading performers.

However, the market recorded more declines than gains, with twenty-four stocks closing lower. Dangote Cement and Enamelware led the losers, each shedding the maximum 10 per cent allowed in a single session.

At the Nigerian Foreign Exchange Market, the naira slipped further amid what traders described as a slowdown in foreign exchange inflows.

The local currency closed at ₦1,447.7089 to the dollar, weaker than the previous close of ₦1,442.5907. Intraday trading saw the naira fall to as low as ₦1,450.25 as supply constraints persisted.

Market watchers warn that the continued pressure on FX liquidity could deepen volatility in the near term, particularly if offshore inflows remain subdued.