The Nigerian equities market closed the week on a negative note, depreciating by N2.099 trillion as bears continue to dominate the trading activities.

The depreciation in the prices of stocks was as a result of sell off experienced across the major stocks in the market.

This resulting in the market capitalisation dropping by approximately by  1.34 per cent to N154.533 trillion from N156.623 trillion recorded the preceding week while benchmark NGX All-Share Index (ASI) declined by 3268.04 basis points or 1.35 per cent  week-on-week (WoW) to close at 239,351.16 points.

Market breadth remained negative, with 18 gainers against 59 decliners and 70 stocks remained unchanged, bringing year to date return to 53.81 per cent.

The negative breadth reflects cautious investor sentiment, as declining stocks significantly outnumbered advancing counters during the week.

Trading activity also went down, indicating  reduction in investor participation.

The number of deals, trading volume and transaction value declined by 16.79 per cent, 48.47 per cent and 10.39 per cent WoW, respectively. 

In total, investors exchanged 6.26 billion shares, valued at N157.085 billion, across 186, 966 trades against 12.153 million shares valued at N176.058 billion exchanged hands the previous week in 224.146 deals.

An analysis of the investment showed that the financial Services Industry led the activity chart with 5.594 billion shares valued at N56.431 billion traded in 82,300 deals, contributing 89.62 per cent and 35.77 per cent to the total equity turnover volume and value respectively. The ICT Industry followed with 143.704 million shares worth N29.793 billion in 23,740 deals. Third place was the  Services Industry, with a turnover of 138.672 million shares worth N1.751 billion in 11,438 deals.

Trading in the top three equities, namely Fortis Global Insurance Plc, Lasaco Assurance Plc and Consolidated Hallmark Holdings Plc , accounted for 4.168 billion shares worth N9.249 billion in 1,660 deals, contributing 66.77 per cent and 5.86 per cent to the total equity turnover volume and value respectively.

Further analysis showed that sectoral performance closed the week on negative terms,  with some sectors either recording declines or remaining flat, reflecting sustained selling pressure and profit-taking across the market. 

The Oil & Gas sector led the losers’ chart, declining 5.29 per cent, driven largely by sharp losses in ARADEL which dipped 9.99 per cent and JapaulGold. The Insurance sector followed with a 3.55 per cent decline, weighed down by significant sell-offs in international General Insurance and FTGInsurance and NEM. 

Banking also came under pressure, falling 2.92 per cent as investors trimmed positions in Fidelity Bank, FirstHoldco,  FCMB and GTCO.