The Nigerian Exchange Limited (NGX) lost more than ₦206 billion in market value last week as investors took profits from previously appreciated stocks, with 55 equities recording price declines against 20 gainers.

The downturn reflected continued market correction as investors reassessed their portfolios following substantial gains recorded earlier in the year.

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Buying interest in selected stocks was insufficient to offset losses in major equities, leaving the market with a negative overall performance.

Market data showed that the NGX market capitalisation fell to ₦160.519 trillion from ₦160.725 trillion recorded at the end of the preceding week.

Similarly, the NGX All-Share Index declined to 247,222.27 points from 247,539.73 points, reflecting a loss of 317.46 points during the week.

Despite the decline in the market’s benchmark indicators, trading activity increased in terms of both volume and transaction value.

Investors traded 2.024 billion shares valued at ₦110.773 billion in 173,113 deals during the week, compared with 1.659 billion shares worth ₦98.088 billion exchanged in 184,632 deals in the preceding week.

The figures indicate that the volume of shares traded rose by about 22 per cent, while transaction value increased by approximately 13 per cent.

However, the number of deals fell by about six per cent.

The Financial Services Industry led trading activity by volume, recording 1.111 billion shares valued at ₦53.908 billion across 81,787 deals.

The sector accounted for 54.89 per cent of total equity turnover volume and 48.66 per cent of transaction value.

The Consumer Goods Industry ranked second, with 394.039 million shares worth ₦9.811 billion traded in 17,912 deals.

The Agriculture Industry placed third, recording 147.170 million shares valued at ₦2.821 billion in 7,462 deals.

The market’s decline also came amid rising international crude oil prices driven by geopolitical tensions in the Middle East.

Although higher oil prices could improve Nigeria’s export earnings and government revenue, potential increases in domestic fuel costs, inflation and business expenses remain concerns for investors.

Analysts at InvestData Consulting Limited said the near-term outlook for the Nigerian equities market remained cautious as investors weighed opportunities in selected stocks against the need to protect existing gains.

According to the analysts, the market’s substantial appreciation since the beginning of the year provides context for the recent weakness, as some investors seek to secure profits accumulated during the rally.

They warned that sustained selling pressure in banking, energy and other influential stocks could prolong the market’s consolidation.

The analysts added that further weakness in large-capitalisation stocks could continue to weigh on the benchmark index, even if selected equities record positive returns.

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The latest performance highlights the contrast between increased trading activity and declining market indicators, as investors continue to adjust their portfolios amid changing market conditions.