The Nigerian stock market experienced a decline in the benchmark index, the All-Share Index (ASI), which fell by 0.97%. This performance was accompanied by a deterioration in market breadth, as the number of declining equities increased to 54, while gainers fell significantly compared to the previous week. The market's inability to sustain its upward momentum was limited by the negative sentiment that extended across a wider range of stocks.
Trading activity in the market was mixed during the week. A total of 2.715 billion shares valued at N158.280 billion were exchanged by investors, compared to 3.166 billion shares worth N155.023 billion in the preceding week. Although the volume of shares traded declined by approximately 14.25%, the total value of transactions increased by about 2.10%. This divergence between trading volume and value indicates that investors traded fewer shares but recorded a higher aggregate transaction value.
The decline in the market was reflected in the number of equities that appreciated and depreciated during the week. A total of 24 equities appreciated, down from 44 in the previous week, while 54 equities recorded price declines, compared to 37 previously. Additionally, 68 equities closed unchanged, up from 65 in the preceding week. The increase in decliners alongside the reduction in gainers points to a less favourable market environment, with losses affecting more stocks than gains.
The Financial Services Industry dominated trading activity by volume, reflecting the substantial participation of banking and other financial stocks in the market. The sector recorded 2.005 billion shares valued at N82.924 billion, accounting for 73.84% of total equity turnover volume and 52.39% of total turnover value. This underscores the importance of financial services stocks to overall market liquidity and investor participation.
The top three most actively traded equities by volume were Access Holdings Plc, Zenith Bank Plc, and United Bank for Africa Plc, which recorded 1.020 billion shares valued at N50.520 billion. Their combined activity accounted for 37.56% of total equity turnover volume and 31.92% of turnover value. This concentration of trading in the three stocks further demonstrated the significant role of major financial institutions in shaping overall market activity.
In terms of price movements, LIVESTOCK FEEDS Plc led the gainers during the week, appreciating 47.75% to close at N13.15. Other top gainers included TRIPPLE GEE AND COMPANY Plc, GUINEA INSURANCE Plc, LEARN AFRICA Plc, and MULTI-TREX INTEGRATED FOODS Plc. On the other hand, CRITICAL MINERALS FINANCING CORP Plc recorded the steepest decline, shedding 20.27% to close at N3.58. Other top decliners included ABC TRANSPORT Plc, JAPAUL GOLD & VENTURES Plc, FIDELITY BANK Plc, and ARADEL HOLDINGS Plc.
Activity in the bonds market increased during the week, with 144,034 units valued at N146.416 million traded, compared to 81,063 units worth N85.606 million in the previous week. The number of units traded rose by approximately 77.68%, while transaction value increased by about 71.97%. This indicates higher recorded trading activity in the bond segment during the period.
Key points
- The Nigerian stock market's benchmark index, the All-Share Index (ASI), fell 0.97% as 54 equities recorded price declines.
- The Financial Services Industry dominated trading activity by volume, accounting for 73.84% of total equity turnover volume.
- The bonds market saw an increase in trading activity, with a 77.68% rise in units traded.
