Nigerian stocks slump N889 billion ahead of Eid-el-Kabir break

The Nigerian stock market closed Tuesday on a sharp downturn, with investors shedding N889 billion from their portfolios. This significant contraction occurred just before the Federal Government declared Wednesday and Thursday as public holidays for the Eid-el-Kabir celebrations, leading traders to liquidate positions and preserve capital.

The All-Share Index fell by 1,386.18 points, a 0.55 percent loss, to settle at 249,738.84 points. Correspondingly, the market capitalization dropped to N160.094 trillion. Analysts noted a mixed sentiment, with institutional investors adopting a cautious stance and remaining on the sidelines ahead of the two-day break.

The day's losses were primarily driven by price depreciation in large and medium-capitalized stocks. Transcorp Power, Unilever Nigeria Plc, Dangote Sugar Refinery Plc, Guaranty Trust Holding Company Plc, and Red Star Express Plc were among the heavily impacted companies. Dangote Sugar Refinery led the decliners, with a maximum daily price drop of 10 percent, closing at N78.30 per share.

Market breadth remained weak, with 37 declining stocks heavily outnumbering 18 gainers. Conversely, Austin Laz & Company and McNichols saw the highest price gains, each rising 10 percent. Trading volume also declined by 10.38 percent, reflecting the cautious outlook as investors prepared for the holiday period.