The Nigerian equities market opened the second trading week of October on a negative note on Monday, as increased profit-taking in Nestlé Nigeria Plc and 28 other stocks dragged the benchmark index lower.
The Nigerian Exchange Limited All-Share Index (NGX ASI) fell by 140.41 points, representing a 0.06 per cent decline, to close at 250,667.86 points. Consequently, the overall market capitalisation dropped by N91 billion to N162.752 trillion.
Nestlé Nigeria led the decline among major stocks, shedding 5.2 per cent amid renewed selling pressure.
Sectoral performance was mixed, with three sectors closing in negative territory. The Insurance index declined by 1.2 per cent, Consumer Goods fell by 0.7 per cent, while Oil and Gas dropped 0.1 per cent. In contrast, the Banking index gained 0.4 per cent, while the Industrial Goods index remained unchanged.
Market breadth also reflected cautious investor sentiment, with 24 stocks recording gains compared with 29 decliners.
Sovereign Trust Insurance emerged as the day’s biggest gainer, rising 10 per cent to close at N2.31 per share. FTN Cocoa Processors followed with a 9.97 per cent increase to N8.38, while Tripple Gee & Company advanced 9.87 per cent to N2.56.
Learn Africa gained 9.80 per cent to close at N8.40, while Livestock Feeds appreciated by 9.55 per cent to N9.75 per share.
On the losers’ table, Critical Minerals Financing Corporation (CMFC) recorded the steepest decline, falling 9.80 per cent to N4.05 per share. ABC Transport lost 9.46 per cent to close at N6.70, while Africa Prudential declined by 7.31 per cent to N10.15.
Japaul Gold & Ventures fell 6.94 per cent to N2.68, while Wapic Insurance dropped 6.36 per cent to N2.21 per share.
Trading activity also weakened significantly during the session. Total volume traded declined by 59.3 per cent to 875.28 million shares, valued at N40.88 billion, across 53,887 deals.
Access Holdings dominated trading activity, with 440.653 million shares worth N13.229 billion changing hands. CMFC followed with 57.779 million shares valued at N235 million, while United Bank for Africa (UBA) recorded 45.441 million shares worth N2.046 billion.
Fidelity Bank accounted for 34.252 million shares valued at N780.899 million, while Chams Holding Company recorded 25.797 million shares worth N85.119 million.
Market analysts, however, expect the equities market to recover gradually as investor sentiment improves.
Cowry Assets Management said the market could rebound from its recent bearish trend, although continued profit-taking and selective selling could limit the pace of recovery in the short term.
