September 16, (THEWILL) — The Nigerian equities market closed in the red on Tuesday, September 16, despite impressive performance from a handful of bullish stocks.
The overall market sentiment remained bearish as the market capitalisation fell from N89.63 trillion at the opening of trading to N89.56 trillion at the close, reflecting a net loss of approximately N70.99 billion. The NGX All-Share Index fell from 141,659,00 points to 141,546.80 points.
The negative market breadth recorded 23 gainers against 27 losers, suggesting a bearish undertone in the trading session. Despite the broader market downturn, several equities defied the trend to post significant gains, led by companies in the insurance, mining, fintech, and FMCG sectors.
Custodian Investment Plc led the gainers’ chart with an impressive 9.94% increase, signalling renewed investor confidence in the insurance sector. Multiverse Mining followed closely with a 9.68% gain, reflecting the continued interest in the mining sector amid rising commodity prices.
Guinness Nigeria Plc also made headlines with a 6.92% appreciation, driven by improved consumer sentiment and increased off-trade sales. E-Tranzact, a major player in the digital payment ecosystem, gained 9.45%, bolstered by investor optimism around fintech growth in Nigeria. LivingTrust MortgageBank Plc posted modest gains of 4.33%, continuing its upward momentum in the microfinance banking space.
On the flip side, the market witnessed notable declines in key counters. FTN Cocoa Processors led the losers’ chart with a 4.84% drop, closing at N5.90 from an opening of N6.20. The stock has been under pressure following weak investor sentiment in the agro-processing space.
Other major decliners included:
- International Breweries Plc, down 4.17% ( 11.50 from N12.00)
- United Bank for Africa (UBA), down 2.28% (N47.25 from N48.35)
- AIICO Insurance Plc, down 2.20% (N4.01 from N4.10)
- Zenith Bank Plc, marginally down 0.29% (N67.80 from N68.00)
Losses in the banking and insurance sectors contributed significantly to the day’s bearish close, reflecting cautious investor sentiment and likely portfolio rebalancing.
Heavyweight stocks such as MTN Nigeria Communications, Stanbic IBTC Holdings, Conoil Plc, Eterna Plc, and Berger Paints were largely flat or traded with minimal price changes. Their inactivity or subdued performance failed to provide the boost needed to reverse the overall market decline.
The market’s decline today, despite the strong performance from selected stocks, suggests continued investor caution in the face of macroeconomic uncertainties, including inflationary pressures, currency volatility, and monetary policy decisions.
However, the notable gains in financial services, mining, and FMCG indicate that pockets of resilience remain in the market.
While today’s market closed negative, investor optimism remains in certain sectors. The performance of gainers like Custodian, E-Tranzact, and Guinness may set the tone for future market sentiment if positive earnings and macroeconomic data continue to support bullish outlooks.
***Written by Ogochukwu Onwaeze.
