NGX Sees Market Correction, Loses Nearly N6 Trillion

The Nigerian Exchange (NGX) concluded August with a modest decline, masking a significant correction that wiped out nearly N6 trillion in market value over 11 trading sessions. Market capitalisation dropped from N160.42 trillion on August 10 to N157.74 trillion by August 31, reflecting a decline of about N587 billion from July's close.

The All-Share Index (ASI) fell from 248,529.75 points to 239,351.16 points between August 10 and August 21, a decrease of 3.69 percent. The market saw a recovery towards the end of the month, with the ASI closing at 244,199.39 points.

The correction was largely concentrated among major companies, with BUA Foods losing approximately N1.52 trillion and MTN Nigeria shedding about N1.39 trillion, together accounting for nearly 49.3 percent of the total decline. The correction was exacerbated by increased interest in fixed-income securities, as evidenced by high bid submissions at Treasury Bills auctions.