Recent Naira Depreciation Leads to N200bn Loss in NGX Equity Market

During trading activities on Tuesday, the Nigerian stock market experienced a decline, resulting in investors losing N200 billion due to the recent Naira depreciation against the Dollar in the foreign exchange market.

As a result, the market capitalisation dropped by N200 billion, equivalent to 0.35%, closing at N56.167 trillion compared to N56.367 trillion from the previous day.

The All-Share Index also saw a decrease of 0.35% or 354 points, ending the day at 99,311.54, down from 99,665.05 in the previous session, causing the Year-To-Date (YTD) return to fall to 32.82%.

Market breadth was negative with 25 losers and 16 gainers, with major banks like Zenith Bank, Guaranty Trust Holding Company (GTCO), Access Corporation, and FBN Holdings among the top decliners.

Leading the list of losers were companies like Honeywell flour, FBN Holdings, and Oando Plc, while Sunu Assurances and Japaul Gold Group were among the gainers.

Analysis of the market activities revealed a higher trade turnover compared to the previous session, with the value of transactions increasing by 47.95%.

A total of 574.43 million shares valued at N7.84 billion were exchanged in 7,324 deals, with Transnational Corporation being the most active in volume and value.

Investor interest in FBN Holdings’ shares improved, with the Group selling 7.91 million shares valued at N175.69 million, compared to the previous day.

Despite these market movements, commercial banks continue to make efforts to meet the minimum capital requirement benchmark set by the Central Bank of Nigeria.