Nigerian Exchange opens bearish in July, losing N150bn as profit-taking continues. Market dips despite four-week gains and sectoral strength in banking
Nigerian Exchange opens bearish on the first trading day of July as investors lost N150bn amid renewed caution and profit-taking.
Also read: Nigerian Equities Market Rally Adds ₦1.185 Trillion in Value
The market capitalisation dropped from ₦75.95tn on Monday to ₦75.8tn by the close of trading on Tuesday, reflecting a negative start to the second half of the year.
The All-Share Index declined by 237.34 points, or 0.2 per cent, to close at 119,741.23. This pulled the market’s week-to-date return to a marginal loss of 0.04 per cent.
However, the Exchange still holds a 7.09 per cent gain over the past four weeks and a 16.34 per cent year-to-date increase.
Investor sentiment appeared mixed as overall activity declined sharply. A total of 527.08 million shares valued at ₦11.28bn were exchanged across 21,546 deals.
Compared to the previous session, this marked a 63 per cent drop in volume, a 74 per cent fall in value, and a 14 per cent decline in the number of deals.
Out of the 129 stocks traded during the session, 47 recorded gains while 23 posted losses. Honeywell Flour Mill led the gainers with a 10 per cent surge to close at ₦23.65.
Other top performers included RT Briscoe, McNichols, and Mutual Benefits Assurance, each gaining 10 per cent. LASACO and Meyer also saw notable upward moves among mid-tier stocks.
On the flip side, University Press recorded the highest loss of the day with a 10 per cent slide to ₦5.04. SCOA Nigeria dropped by 9.83 per cent, while Thomas Wyatt Nigeria declined by 9.57 per cent. PZ Cussons also shed 7.89 per cent, rounding off a day of mixed investor reactions.
In terms of trading volume, Ellah Lakes topped the chart with 46.05 million shares exchanged. UPDC followed with 38.5 million shares, while Universal Insurance recorded 30.4 million. Nigerian Breweries led in transaction value with ₦1.74bn worth of shares traded.
Sectoral performance was uneven. The Consumer Goods Index recorded a 31.6 per cent gain, driven by renewed interest in key stocks.
The Banking Index also improved, rising by 17.99 per cent. The Top 30 Index advanced by 6.8 per cent, while the Pension Index climbed 9.59 per cent. In contrast, the Premium Index slipped by 0.92 per cent, dampening overall market momentum.
Despite June closing with a ₦5.32tn gain driven by investor appetite for equities, the July 1 session began on a sombre note.
The market ended June with marginal losses and entered July with further declines, underlining a cautious stance by investors wary of overbought conditions and economic signals.
A Lagos-based analyst described the session as “a reality check after the June rally,” warning that profit-taking could continue until new economic data or earnings results provide fresh direction.
The market’s soft start highlights the volatility expected in the third quarter as global and local investors reassess positions.
Also read: Nigerian state governors spend N1.99tn on recurrent expenditure amid revenue shortfalls
As Nigerian Exchange opens bearish for July, all eyes will be on macroeconomic policy cues and Q2 earnings to shape sentiment in the coming weeks.
