NGX Index Slips Again As Broad Profit-Taking Persists, Investors Brace For Year-End Rebalancing
Market Update For December 10, 2025
The Nigerian equities market closed Wednesday on a cautious note, as profit-taking across several blue-chip and mid-cap stocks tempered gains from earlier trading sessions. Activity was characterized by selective buying in fundamentally strong stocks while investors rotated out of counters that had delivered strong rallies in recent weeks. This environment reflects a market consolidating after a period of strong momentum, with traders balancing optimism for further gains against the risk of short-term corrections.
Sector performance was largely mixed. Banking stocks experienced mild declines, with key players like ACCESSCORP retreating after strong year-to-date performance. Consumer goods counters also lost ground as profit-taking emerged in household names, while insurance stocks recorded notable weakness. Conversely, industrial stocks held steady, reflecting underlying demand resilience, and select energy stocks benefited from stabilization in oil prices, although gains were modest.
Market activity contracted compared with the previous session, signaling reduced participation as investors assessed broader macroeconomic signals. Total traded volume dropped 62.15% to 747.09 million shares, while turnover fell to N12.43 billion across 19,161 deals. CUTIX dominated trading by volume, with 122.91 million units, accounting for over 16% of total market activity, followed by FCMB and FIDELITYBK. In terms of value, GTCO led the session, with trades worth N2.74 billion—22.05% of total value exchanged—highlighting continued institutional interest.
On the broader macro front, crude oil prices steadied after a 1% decline in the previous session, reflecting cautious optimism among market participants. Brent crude closed at $61.96/bbl, while WTI rose slightly to $58.28/bbl. Market participants are closely watching progress in Russia-Ukraine peace talks and awaiting the U.S. Federal Reserve’s interest rate decision, which could impact global liquidity conditions and, by extension, oil demand. Data from the American Petroleum Institute indicated a 4.78 million-barrel drop in crude inventories, though gasoline and distillate stocks increased, keeping the market cautiously balanced.
From a technical standpoint, the Nigerian bourse is showing signs of short-term consolidation. The ASI is oscillating within a narrow range, with immediate resistance around 147,200 points and support near 146,400 points. This range-bound behavior suggests that the market is absorbing recent gains while allowing for selective accumulation in fundamentally strong counters. Large-cap stocks, particularly GTCO, ACCESSCORP, and FIDELITYBK, remain the focus of institutional investors, while mid-cap and small-cap stocks are more susceptible to profit-taking swings. Market breadth is positive, suggesting that the underlying market structure remains resilient despite minor corrections.
Investors are likely to monitor upcoming corporate earnings releases, sector-specific developments, and macroeconomic indicators—including inflation trends and interest rate signals—for guidance on positioning in the near term. Stocks showing strong technical setups, relative strength, or recent breakouts above key levels may attract renewed buying interest, while counters that have experienced rapid gains could continue to see short-term profit-taking.
Market Snapshot
The All-Share Index (ASI) dipped 0.05% to 146,862.00 points, with market capitalization contracting N33.81 billion to N93.62 trillion. Year-to-date returns eased to 42.69%, reflecting modest consolidation. Market breadth was positive, with 28 gainers versus 23 decliners. Notable gainers included JAPAULGOLD (+10.0%), MECURE (+5.0%), and other selective counters, while top losers were UACN (-8.18%), CHAMS (-10.0%), SUNUASSUR (-6.98%), CORNERST (-3.67%), and ACCESSCORP (-2.87%).
Traded volume and value reflected a slowdown in market activity, suggesting that investors are assessing valuations amid profit-taking pressures. Key contributors to market activity included CUTIX, GTCO, FCMB, and FIDELITYBK, indicating a focus on high-liquidity counters. Technical indicators suggest limited downside in the short term, with the market likely to continue consolidating in the 146,400–147,200 points range while awaiting catalysts for renewed directional momentum.
