NGX ASI Declines Following 9-Day Bullish Streak

The Nigerian Exchange (NGX) All-Share Index (ASI) experienced a pullback as investors took profits from stocks such as MTN Nigeria, Aradel Holdings, and Nigerian Breweries.

On Thursday, the Nigerian Exchange recorded a downturn, ending its nine-day upward trend as the All-Share Index fell by 0.43%, closing at 166,057.29 points.

The market capitalization decreased by N457.58 billion, reaching N106.32 trillion due to selling pressures on major stocks amid rising inflation. The inflation rate in Nigeria reversed its eight-month downward trend, with the consumer price index climbing to 15.15% from 14.45% in November.

The market breadth also indicated a negative trend at 0.9x, where 36 stocks gained while 41 suffered losses. Among the top gainers were NESTLE, NCR, JAIZBANK, MORISON, and MECURE. Conversely, MCNICHOLS, CAVERTON, IKEJAHOTEL, FTNCOCOA, and NEIMETH saw the largest declines.

The market's retreat was influenced by profit-taking in stocks like MTNN, which decreased by 4.13%, ARADEL by 5.11%, and NB by 2.33%. NESTLE, however, emerged as the standout performer today with a gain of 10.00%, while MCNICHOLS suffered the most significant drop at 9.99%.

Trading metrics showed mixed activity, as share volume surged by 35.80% to 1.02 billion units, and the transaction value increased by 5.83% to ₦31.59 billion. Meanwhile, the number of deals fell by 8.11% to 51,227 transactions.

SOVERNINS led the volume with 245.2 million units traded, while ZENITHBANK topped the value chart with trades amounting to N5.0 billion.

Sector performance was varied today. The Banking index increased by 0.78%, the Consumer Goods index rose by 0.33%, and the Industrial Goods index gained 0.01%, driven by demand for stocks like FIRSTHOLDCO, NESTLE, and BETAGLAS, which increased by 4.00%, 10.00%, and 0.60%, respectively.

Conversely, due to sell-offs in ARADEL, both the Oil & Gas and Commodity indices dropped significantly by 2.21% and 1.14%, respectively. The Insurance index fell by 0.24%, attributed to selling pressures on AIICO, which decreased by 3.04%.