NGX SHEDS ₦137BN AS BANKING, INSURANCE STOCKS SLIDE

The Nigerian equities market extended its bearish run as renewed selling pressure on banking and insurance stocks pushed the market capitalisation down by ₦137.12 billion.

The NGX All-Share Index declined by 265.99 points to close at 239,085.17 points, compared with 239,351.16 points at the previous session.

Consequently, total equity market capitalisation fell to ₦154.40 trillion, from ₦154.53 trillion recorded at the close of the previous week.

The decline reflected broad selling pressure across key sectors, with investors reducing their positions in several banking and insurance counters.

Market activity remained significant despite the downturn, as investors continued to reposition their portfolios amid changing expectations around corporate earnings, valuations and market performance.

The sell-off in financial stocks weighed on the broader market because banks and insurance companies account for a substantial portion of listed equities and market capitalisation.

The latest decline adds to the recent volatility on the Nigerian Exchange, following strong gains recorded by several banking stocks earlier in the year.

Analysts said investors were increasingly selective in their positioning as they assessed company fundamentals, earnings prospects and the wider economic environment.

The market's performance also reflects the impact of profit-taking, particularly after strong rallies in some large-cap stocks.

Despite the latest decline, the Nigerian equities market continues to attract significant investor activity, with leading stockbrokers accounting for a substantial share of trading across equities and other asset classes.

Investors are expected to continue monitoring corporate results, monetary policy developments and other economic indicators as they assess the direction of the market in the coming sessions.