Trading on the Nigerian Exchange Limited (NGX) weakened during the week as the value of equities traded fell by N60.192bn, while the market’s benchmark index declined by 0.33 per cent amid reduced investor activity.
Investors exchanged 1.659 billion shares valued at N98.09bn in 184,632 deals during the week, compared with 2.715 billion shares worth N158.28bn traded in 209,986 deals in the preceding week.
The latest figures represent a 38.0 per cent decline in trading volume, a 38.0 per cent drop in transaction value and a 12.1 per cent reduction in the number of deals, indicating a slowdown in activity on the domestic equities market.
The NGX All-Share Index, which measures the overall performance of listed equities, fell by 0.33 per cent to close the week at 247,539.73 points, while market capitalisation declined to N160.73tn.
The performance reflected a broadly weaker market, with most sectoral and thematic indices closing lower despite gains recorded in selected segments, including the oil and gas, commodity and consumer goods sectors.
Although the overall market recorded a decline, the NGX Main Board Index appreciated by 0.50 per cent, while the NGX Consumer Goods Index gained 0.09 per cent.
The NGX Oil and Gas Index advanced by 3.13 per cent, and the NGX Lotus II Index rose by 0.88 per cent.
The NGX Industrial Goods Index edged up by 0.004 per cent, while the NGX Growth Index increased by 0.07 per cent. The NGX Commodity Index also gained 2.36 per cent during the period.
The NGX Sovereign Bond Index closed unchanged, while the other indices recorded losses.
A breakdown of trading activity showed that the Financial Services Industry dominated the market in terms of volume, accounting for 1.083 billion shares valued at N48.97bn in 86,994 deals.
The sector contributed 65.31 per cent of total equity turnover volume and 49.92 per cent of the total value of shares traded, underscoring its continued importance to activity on the Nigerian equities market.
The Agriculture Industry ranked second, with 129.650 million shares worth N2.18bn exchanged in 8,650 deals.
The Information and Communications Technology (ICT) Industry occupied third position, recording a turnover of 87.909 million shares valued at N6.96bn in 19,017 deals.
Trading in the three most actively traded equities by volume, Access Holdings Plc, United Bank for Africa Plc and Livestock Feeds Plc, accounted for 413.96m shares valued at N12.16bn in 18,365 deals.
The three stocks jointly contributed 24.96 per cent of total equity turnover volume and 12.40 per cent of the total value traded during the week, highlighting the concentration of market activity in a handful of equities.
Despite the overall market decline, the breadth of price movements improved compared with the preceding week, as fewer stocks recorded losses and more equities advanced.
A total of 50 equities appreciated in price during the week, up from 24 in the previous week. Meanwhile, 30 equities depreciated, compared with 54 in the preceding week.
The number of equities that closed unchanged stood at 66, down from 68 recorded in the previous week.
The improvement in market breadth suggests that more listed stocks recorded price gains during the review period, even as the benchmark index remained in negative territory.
However, the decline in aggregate trading volume and value indicates that investors traded less actively during the week, while the marginal fall in the All-Share Index reflected the overall weakness in market performance.
The combination of reduced turnover and a lower benchmark index highlights the mixed conditions facing the Nigerian equities market, where selected sectors and stocks continued to attract buying interest despite the broader market’s negative performance.
