By Ayorinde Taiwo (SIWES student, Gate Way Polytechnic Saapade)
The Nigerian Exchange Limited saw its market capitalization decline for the first time in the New Year, ending an eight-day rally.
The market cap dropped by approximately N638 billion to close at N44.885 trillion, following a milestone crossing of N45 trillion the previous day.
While the All-Share Index remained above 80,000 points, it lost 1,167.46 points or 1.40%, closing at 82,024.38 on Wednesday.
Banking stocks, with the exception of Jaiz Bank (up 5.40% to N2.93) and Stanbic IBTC Holdings (closing flat), suffered losses.
Access Holdings Plc and First Bank of Nigeria Holdings, having crossed the N1 trillion milestone a day earlier, ended with market capitalizations of N989 billion and N926 billion, respectively.
The downturn coincided with the Economic and Financial Crimes Commission’s questioning of some banks’ Managing Directors regarding a fraud uncovered at the Ministry of Humanitarian Affairs and Poverty Alleviation.
Key contributors to the market’s performance included Transnational Corporation Plc, AccessCorp, United Bank for Africa, Jaiz Bank, and Zenith Bank.
Despite the market dip, the day’s transaction volume increased to 1,641.28 million, with shares valued at N25.37 billion, up from the previous day’s 1,409.85 million units. The number of stocks traded on Wednesday totaled 123.
