Investors gain N80bn as banking stocks lift equities market

Nigerian equities investors added about N80 billion to their wealth on Monday as bargain hunting in selected banking and consumer goods stocks cushioned losses in several medium-cap equities, leaving the market marginally lower despite stronger trading activity.

The Nigerian Exchange (NGX) All-Share Index (ASI) eased by 0.05 per cent to close at 247,238.74 points, while market capitalisation slipped by 0.05 per cent to N159.51 trillion, reducing investors’ gains for the year to 58.88 per cent from 58.96 per cent recorded at the previous close.

Market sentiment remained subdued as losses in Transpower Plc, Neimeth International Pharmaceuticals and International Breweries offset gains recorded in First HoldCo, Dangote Sugar Refinery and Fidelity Bank.

Transpower led the losers’ chart with a 10.00 per cent decline, while Neimeth fell by 9.78 per cent and International Breweries shed 9.85 per cent.

On the gainers’ table, First HoldCo appreciated by 4.56 per cent, Dangote Sugar advanced by 3.14 per cent, while Fidelity Bank rose by 2.14 per cent as investors continued to accumulate banking stocks following renewed optimism over the sector’s earnings outlook.

Despite the weak market performance, trading activity improved significantly, reflecting sustained investor participation.

Total trading volume increased by 12.82 per cent to 637.96 million shares, while the value of transactions surged by 91.47 per cent to N57.20 billion, indicating strong institutional participation in selected counters.

Access Holdings emerged as the most actively traded stock by volume with 47.57 million shares, while Aradel Holdings dominated the value chart with transactions worth N27.57 billion.

Market breadth closed negative as 32 stocks declined, compared with 27 gainers, translating to a breadth ratio of 0.84 times. LASACO Assurance topped the gainers’ list after appreciating by 9.89 per cent, while SUNU Assurance recorded the day’s steepest decline of 10.00 per cent.

Meanwhile, the NASD Over-the-Counter Securities Exchange opened the week on a positive note as the NASD Security Index gained 1.11 per cent to close at 4,342.60 points.

Market capitalisation on the OTC platform also rose by 1.11 per cent to N2.61 trillion, lifting the year-to-date return to 22.54 per cent from 21.19 per cent.

However, trading activity on the NASD weakened, with total traded volume falling by 79.84 per cent to 604,565 shares, while transaction value declined by 71.74 per cent to N19.61 million across 33 deals.

In the foreign exchange market, the naira depreciated marginally by 0.01 per cent at the Nigerian Foreign Exchange Market (NAFEM) to close at N1, 362.21/$, while global crude oil prices retreated following signs of easing geopolitical tensions between the United States and Iran, although concerns over supply disruptions in the Strait of Hormuz and the Bab el-Mandeb corridor continued to support prices.

Global investor sentiment also remained cautious after the United States imposed fresh tariffs ranging from 10 per cent to 12.5 per cent on imports from 60 trading partners, including the European Union, China and India, raising concerns over renewed trade tensions and their implications for global economic growth.