By Juliet Ezeh
The Nigerian equities market closed in the red on Tuesday, as sustained profit-taking in banking stocks ended a multi-day rally and wiped billions off investors’ portfolios.
At the close of trading on the Nigerian Exchange Limited (NGX), the All-Share Index slipped 0.47 per cent to 189,362.94 points from 190,262.44 recorded in the previous session. Market capitalisation declined to N121.55tn from N122.13tn, reflecting renewed caution among investors.
The downturn was largely driven by losses across heavyweight banking counters, which overshadowed gains recorded in other sectors. The NGX Banking Index recorded the steepest sectoral decline, dropping 3.69 per cent amid broad-based selling pressure.
Shares of Zenith Bank Plc fell 10.00 per cent, while United Bank for Africa Plc shed 6.56 per cent. Access Holdings Plc declined 4.63 per cent and Guaranty Trust Holding Company Plc dipped 2.33 per cent. Analysts attributed the slide to investors locking in gains after recent price appreciations in the banking sector.
In contrast, the NGX Consumer Goods Index advanced from 4,328.43 to 4,438.58 points, supported by renewed buying interest in food and household product manufacturers. BUA Foods Plc gained 5.77 per cent, Nestlé Nigeria Plc rose 2.47 per cent, Unilever Nigeria Plc added 3.63 per cent, and Cadbury Nigeria Plc increased 1.47 per cent. The rally in consumer goods stocks helped moderate the broader market decline but proved insufficient to counterbalance the banking sell-off.
The NGX Industrial Index eased 0.50 per cent. Dangote Cement Plc recorded a marginal 0.16 per cent gain, while Lafarge Africa Plc fell 4.04 per cent.
The NGX Insurance Index slipped 0.57 per cent despite mixed performance within the sector. FTG Insurance Plc rose 9.52 per cent, whereas AXA Mansard Insurance Plc declined 8.77 per cent.
Meanwhile, the NGX Oil & Gas Index closed largely flat at 3,928.51 compared to 3,930.91 previously. Eterna Plc advanced 3.23 per cent, while Aradel Holdings Plc dipped 0.25 per cent.
Despite the negative close, trading activity strengthened across key indicators. The number of deals surged 34.82 per cent to 86,697 transactions, while volume traded increased 12.93 per cent to 1.19 billion units. However, total transaction value declined 4.44 per cent to N60.19bn.
Tuesday’s session reflected growing sectoral divergence within the market, as gains in consumer goods stocks were unable to offset heavy losses in banking counters. Market direction in the coming sessions is expected to hinge largely on investor sentiment within the banking sector.
Juliet Ezeh is the founder and chief reporter at Westbridge Reporters with over 7 years of experience in journalism. She covers crime, industry, policy, and social developments, delivering timely and accurate reporting.