NGX: Losses in banking, insurance stocks wipe N1.88trn

Nigeria’s equities market suffered a sharp sell-off on Tuesday, erasing N1.88 trillion from investors’ wealth as heavy losses in banking and insurance stocks dragged the benchmark index down 1.17 per cent.

The Nigerian Exchange Limited All-Share Index (ASI) fell to 244,802.11 points from the previous session, moderating its year-to-date (YTD) return to 57.31 per cent from 59.18 per cent.

Market capitalisation consequently declined to N158.72 trillion, reflecting the broad-based pressure that swept through major market segments.

The sell-off was particularly severe in the banking sector, which fell 5.29 per cent, with several highly capitalised lenders among the biggest losers.

First Holdco Plc declined 9.30 per cent, while Abbey Mortgage Bank Plc and Access Corporation Plc fell 9.74 per cent and 7.06 percent respectively. The Insurance sector also weakened by 4.38 per cent, adding to the downward pressure.

The breadth of the market underscored the severity of the sell-off, with only four stocks advancing against 65 decliners, translating to a negative breadth of 0.05x.

Abbey Mortgage Bank emerged as the session’s worst-performing stock, while Ellah Lakes Plc led the gainers with a 7.07 per cent increase. Learn Africa Plc and Wema Bank Plc also gained 1.16 per cent and 0.68 percent respectively.

Sectoral performance was mixed, although gains in selected segments were insufficient to offset the broad market decline. The Consumer Goods sector rose 0.49 per cent, while Oil and Gas and Commodities gained 5.76 per cent and 4.04 per cent respectively.

However, the strong performance of these sectors was overwhelmed by the 5.29 per cent decline in banking stocks, the 4.38 per cent fall in insurance and a 0.64 per cent decline in Industrial Goods.

Despite the sharp decline in prices,…