Equity Market Loses N166bn Despite Decline in Inflation

Nigeria’s equity market saw a loss of N166 billion despite a reported drop in inflation, highlighting investor concerns over economic stability. The downturn was driven by sell-offs in key sectors, as traders remained cautious about market conditions.

The decline in inflation, which was expected to boost investor confidence, did not translate into market gains. Analysts suggest that lingering economic uncertainties, including foreign exchange volatility and high interest rates, may have contributed to the bearish sentiment.

Blue-chip stocks bore the brunt of the decline, with banking, manufacturing, and consumer goods sectors experiencing notable sell pressure. Market participants are closely watching upcoming economic policies and corporate earnings reports for signs of potential recovery.

Despite the setback, analysts believe long-term opportunities remain, especially for investors willing to navigate short-term market fluctuations. The coming weeks will be crucial in determining whether the market can regain momentum or if the bearish trend will persist.