The Nigerian Exchange (NGX) took a significant hit on Wednesday, April 16, reversing the previous day’s modest rebound. The All-Share Index dropped by 0.68%, shedding 708.14 points to close at 103,851.88. This downturn erased N445bn from the total market value, bringing the market capitalisation down from N65.7tn to N65.3tn. The major culprits behind the slump were sharp sell-offs in leading banking stocks, with Guaranty Trust Holding Company and Zenith Bank taking the hardest blows.
GTCO and Zenith Bank led the market’s losers, tumbling by 11.94% and 11.65% respectively. Other notable decliners included Industrial and Medical Gases, Guinea Insurance, and UPDC REIT, all of which saw steep percentage drops. Despite the overall bearish mood, 24 out of the 124 actively traded stocks managed to post gains. Abbey Mortgage Bank stood out with a 9.99% increase, while Sovereign Trust Insurance, NGX Group, and Deap Capital also posted notable gains.
Market activity reflected mixed investor sentiment. Although trading volume declined by 5% from the previous session, total turnover rose by 26%, indicating higher-value transactions. Access Holdings led the activity chart by volume, followed by GTCO, FCMB Group, and UBA. Among sector indices, the NGX Top 30 and NGX Oil and Gas Indexes both declined, while Insurance and Consumer Goods indices recorded modest gains.
Looking at the broader picture, the market has had a turbulent few weeks. Despite a one-day gain of N19bn on Tuesday, April 15, the NGX remains on a losing streak, with a one-week decline of 0.32% and a four-week drop of 1.84%. Still, the exchange holds on to a slim year-to-date gain of 0.9%, hinting at cautious optimism among investors navigating volatile conditions.
Source: Punch