Investors lose N225bn on NGX as October trading closes on bearish note

Onome Amuge

The Nigerian Exchange (NGX) experienced a turbulent close to October trading, as investors recorded losses exceeding N225 billion. 

The local bourse’s key performance indicator recorded a 0.38 percent decline, further eroding the year-to-date return on equities investments.

The NGX experienced a difficult week, as the All-Share Index (ASI) declined by 372 basis points during the trading session, closing at 97,651.23. T

The equities market posted negative returns for four consecutive trading sessions, with the sell-off pressure spread across 26 stocks, including the blue-chip ARADEL and 25 other counters.

Meanwhile, the overall market capitalisation of the NGX dropped N225.41 billion, closing out the month at N59.17 trillion.

Stockbrokers reported that a total of 536.79 million units, valued at N10,010.99 million, were exchanged across 9,053 deals. Compared to the previous day, both the total volume and total value traded decreased by 0.40 percent and 34.57 percent, respectively.

United Bank for Africa (UBA) emerged as the most actively traded stock on the NGX, accounting for 13.95 percent of the total volume of trades. Other stocks that significantly contributed to the trading volume were UACN (10.35%), CHAMS (10.01%), JAIZBANK (8.65%), and VERITASKAP (7.56%).

UBA also dominated in terms of value, representing 24.89 percent of the total value of trades on the exchange.

SUNUASSUR led the NGX in terms of price appreciation, recording a 10.00 percent increase in value during Thursday’s trading session. 

EUNISELL followed with a 9.89 percent price gain, while UPL (9.74%), CORNERST (9.60%), PRESTIGE (9.26%), CONOIL (9.14%) and 18 other stocks also recorded price increases.

The NGX closed Thursday’s trading session with a negative market breadth, as 24 stocks recorded gains and 26 stocks recorded losses. 

However, three out of the five major market sectors posted positive returns, with the Oil & Gas sector leading the way with a 1.27 percent growth. The Insurance sector also registered a 1.12 percent surge, while the Banking sector recorded a 0.28 percent increase.

While three of the major market sectors recorded gains on Thursday, the Industrial and Consumer goods sectors experienced declines of 0.09 percent and 0.06 percent, respectively.