Investors lose N400bn as NGX opens week on negative note

Investors in Nigerian equities lost about N400 billion in market value as the Nigerian Exchange (NGX) opened the week on a negative note, with sell-offs in Zenith Bank, Access Holdings and First HoldCo outweighing gains in Guinness Nigeria, MTN Nigeria Communications and Stanbic IBTC Holdings.

The NGX All-Share Index (ASI) fell by 0.25 per cent to close at 247,736.24 points, while market capitalisation declined by 0.25 per cent to N160.85 trillion. The downturn moderated the market’s year-to-date return to 59.20 per cent, from 59.45 per cent in the previous session.

The losses reflected sustained selling pressure in key banking stocks, with Access Holdings shedding 4.24 per cent, Zenith Bank declining by 4.23 per cent and First HoldCo falling by 2.54 per cent.

Their performance outweighed gains in Guinness Nigeria, which advanced by 9.93 per cent, Stanbic IBTC Holdings, up 1.88 per cent, and MTN Nigeria Communications, which gained 0.48 per cent.

Market breadth remained negative, with 32 stocks declining against 28 advancers, translating to a breadth ratio of 0.88 times. Regal Insurance led the gainers with a 10 per cent increase, while Red Star Express topped the decliners, shedding 9.76 per cent.

Despite the decline in market value, trading activity was mixed. Total volume traded rose by 25.88 per cent to 405.39 million units, while transaction value fell by 3.07 per cent to N19.87 billion. The number of deals increased by 40.11 per cent to 52,977.

Access Holdings led trading by volume, with 33.28 million shares exchanged, while Zenith Bank topped the value chart with transactions worth N3.63 billion.

In the NASD over-the-counter market, investors also recorded losses as the NASD Securities Index fell by 1.41 per cent to 4,293.39 points. Market capitalisation declined by 1.15 per cent to N2.58 trillion, while the year-to-date return moderated to 21.68 per cent.

Trading activity strengthened significantly, with volume rising by 782.24 per cent to 3.59 million units and transaction value increasing by 66.12 per cent to N49.03 million. The number of trades advanced by 30 per cent to 26.

SDIGIPLC led the gainers, appreciating by 9.80 per cent, while SDMRS led the decliners with a 9.95 per cent loss.

On the global front, the dollar traded near an 18-month high on Monday as demand for safe-haven assets persisted amid escalating conflict in the Middle East. Investors remained cautious ahead of key United States inflation data expected later in the week.

Oil prices were volatile after Yemen’s Iran-backed Houthis intensified strikes on Saudi Arabia and two tankers were attacked over the weekend.

Brent crude futures rose by 2.44 per cent to $106.99 a barrel, approaching a two-week high as supply concerns outweighed the announcement of an energy ceasefire between Ukraine and Russia by United States President Donald Trump.

Oil prices remained almost 45 per cent above their levels before the United States-Israeli war with Iran began, underscoring persistent geopolitical risks to global energy supply and inflation.