EQUITIES SHED N800BN AS PROFIT-TAKING HALTS MARKET RALLY

The Nigerian equities market experienced a notable reversal on Wednesday as profit-taking activities halted the recent rally, resulting in a significant N800 billion erosion of investors’ wealth.

The All-Share Index (ASI) declined by 1,241.19 points, representing a 0.50% drop, to close at 245,418.37 points. Market capitalisation fell from its previous level to N158.319 trillion.

Heavyweight stocks led the downturn, with Nestle Nigeria and BUA Foods both plunging 10% to close at N2,812.50 and N845.10 respectively. Other notable decliners included MeCure Industries (-9.94%), UACN (-7.75%), and Guinness Nigeria.

Despite the pullback, trading volume surged 34.34% to 1.253 billion shares worth N118.179 billion. First Holdco dominated activity, contributing over two-thirds of the total value traded. Banking and insurance sectors showed resilience, posting gains of 1.51% and 1.64% respectively.

Analysts view this as a healthy correction after sustained gains, with institutional interest remaining strong in tier-one banks. Market breadth stayed positive with 36 gainers against 28 losers. Investors will closely monitor upcoming corporate earnings for direction.