Trading on the Nigerian Exchange Limited (NGX) ended on a bearish note as profit-taking by investors wiped about N725 billion from the market capitalisation.
The decline followed sell-offs in several highly capitalised stocks, which weakened overall investor sentiment and dragged key market indicators lower.
Market data showed that the NGX All-Share Index also fell alongside the drop in market capitalisation, reflecting widespread selling pressure across the equities market. The downturn was largely driven by investors locking in gains from previously rising stocks.
Analysts said the pullback was expected after sustained gains recorded in recent sessions, noting that profit-taking often occurs when investors sell shares to secure profits following price appreciation.
Despite the decline, trading activity remained relatively strong as investors continued to exchange shares across multiple sectors of the market.
Market watchers said the temporary downturn does not necessarily signal a prolonged bearish trend but rather a short-term correction as investors rebalance their portfolios.
They added that the direction of the market in the coming sessions will likely depend on investor sentiment, macroeconomic developments, and corporate earnings expectations.
