The Nigerian Exchange (NGX) retreated on Wednesday, with the benchmark All-Share Index (ASI) dropping sharply during trading before stabilising just above the 165,000 level.
According to market data, the ASI closed the session at 165,164.4 points, down 549.4 points a 0.33% decline compared with the previous day’s close of 165,713.8.
The slide reflected broad-based selling pressure across key sectors, though the index managed to hold above the psychologically significant 165,000 threshold.
While the dip drew bearish sentiment, trading activity improved significantly. Total volume increased to roughly 623 million shares, up from about 483 million the prior session, executed in over 42,000 deals indicating heightened participation despite the downturn.
Market capitalisation dipped alongside the ASI, falling to ₦105.7 trillion from approximately ₦106 trillion the previous day a reflection of the broad pressure on prices.
Market Movers and Sector PerformanceMarket breadth remained tilted toward losers, though a few counters posted gains. UHOMREIT and DEAPCAP led the advancers with increases close to 10%, while significant declines were seen in stocks such as RT Briscoe and May & Baker, each sliding by nearly 10%.
Trading activity was driven by a mix of mid- and large-cap stocks. Neimeth topped volume with more than 58 million shares traded, while Zenith Bank accounted for the largest value of transactions at around ₦2.3 billion. Other heavily traded names included CHAMS, Access Holdings, and Tantalizers.
Investor Sentiment and OutlookAnalysts say the pullback highlights caution among investors as they await clearer signals from earnings reports and macroeconomic indicators. Mixed performances among heavyweight stocks reflect uneven confidence in market direction.
Despite the downturn, market watchers suggest that the index’s ability to sustain a position above 165,000 points suggests underlying support in major equities. Future movements are expected to hinge on upcoming corporate earnings releases and broader economic data that could influence investor risk appetite in the near term.
As the NGX navigates this brief bearish phase, traders and investors will be watching for renewed momentum in mid- and large-cap stocks to drive further confidence in market performance.
Image Credit: Nairametrics
Source: Nairametrics
