The Nigerian Exchange Limited (NGX) closed in the negative territory as profit-taking, particularly in Oil & Gas and Banking stocks, outweighed bargain hunting last week.
The All-Share Index (ASI) declined by 0.62 percent week-on-week (WoW) to settle at 109,028.62 basis points compared to the previous week’s close of 109,710.37 points.
Consequently, the equities market capitalisation declined by ₦202 billion to close the week at ₦68.751 trillion as against ₦68.953 trillion in the preceding week.
The moderation in market performance also led to a contraction in the year-to-date (YtD) return to 5.93 percent. On a month-to-date basis, however, the market remains positive, up 3.05 percent.
The NGX Oil & Gas Index posted the steepest decline, down by 3.44 percent WoW, driven by sell pressure in mid- and large-cap counters as investors locked in recent gains.
The NGX Banking Index followed, falling by 1.52 percent due to bearish sentiment in Tier-1 lenders.
In contrast, the NGX Consumer Goods Index advanced by 2.09 percent, supported by sustained interest in select FMCG stocks.
The NGX Industrial Index gained 0.72 percent while the NGX Insurance Index rose marginally by 0.73 percent, reflecting investor rotation into defensive and undervalued sectors.
Trading activities during the week reflected cautious sentiment as market participants reacted to macroeconomic signals, earnings guidance and sector-specific developments.
The sell-offs in Oil & Gas and Banking stocks suggest short-term profit-taking as investors continue to assess the direction of interest rates and currency stability.
Market breadth remained mixed as gainers and losers shared investor attention. While select stocks in consumer and industrial sectors recorded gains, the momentum was not strong enough to offset the broader losses in energy and financial equities.
Analysts expect the market to remain volatile in the near term, driven by external factors including global oil price movements, forex availability and fixed-income yields.
Investor sentiment is also likely to be influenced by policy updates from the Central Bank of Nigeria (CBN) and fiscal clarity from the federal government.
The NGX is expected to trade cautiously in the coming sessions with potential for recovery if macroeconomic indicators improve and institutional participation strengthens in growth sectors.
