Heavy selling pressure and thin buying interest dragged the Nigerian equities market into deeper red territory last week, wiping out N2.1 trillion in investor wealth in just five trading sessions.
The Nigerian Exchange Limited (NGX) All-Share Index closed at 143,722.62 points on Friday, down 2.2% from 147,013.59 points the previous week. Market capitalisation followed suit, shrinking from N93.501 trillion to N91.410 trillion.
The rout was broad-based, with several heavyweight and high-volume stocks leading the decline as portfolio managers trimmed exposure ahead of the year-end reporting season and in response to still-elevated fixed-income yields.
Trading activity also slowed sharply. Investors exchanged 2.668 billion shares valued at N106.26 billion across 107,998 deals a steep drop from the 7.325 billion shares worth N156.43 billion recorded the week before.
The Financial Services sector remained the most active, accounting for 68.2% of total volume (1.82 billion shares) and 42.2% of value. Access Holdings, Tantalizers, and Zenith Bank together contributed nearly 40% of weekly turnover.
Analysts described the market as firmly bearish, with the All-Share Index now trading below key short-term moving averages a technical signal of sustained downward momentum.
“The combination of shrinking volumes, narrowing market breadth, and persistent capital preservation tactics points to weak underlying demand,” said InvestData Consulting in its weekly note. “Investors are staying on the sidelines, awaiting clearer macroeconomic cues and stronger liquidity flows before committing fresh funds.”
While occasional bargain-hunting could spark brief rebounds, analysts cautioned that the path of least resistance remains downward until meaningful catalysts emerge — such as attractive corporate results, sector-specific positive news, or a noticeable softening in money-market rates.
With only a few weeks left in 2025, the extended sell-off has left many portfolios nursing significant paper losses, reinforcing a defensive posture among both retail and institutional players.
