The Nigerian Exchange (NGX) experienced a bearish trading week, with investors losing N440 billion after recording a profit of N110 billion the previous week. The market capitalization dropped to N65.707 trillion from N66.147 trillion, and the All-Share Index (ASI) depreciated by 0.90% to close at 104,563.34 points. Trading activities were mixed, with gains in only two of the five trading sessions.

The week began with a significant loss of N658 billion on Monday, followed by a profit of N100.45 billion on Tuesday. Wednesday saw a loss of N119.22 billion, but the market rebounded on Thursday with a gain of N381.90 billion. The week concluded on Friday with a loss of N145.41 billion.

A total turnover of 2.094 billion shares worth N52.967 billion was traded in 64,612 deals, compared to 1.183 billion shares valued at N28.868 billion in 42,397 deals the previous week. The Financial Services sector led the activity chart with 1.539 billion shares valued at N36.353 billion, contributing 73.49% and 68.63% to the total equity turnover volume and value, respectively. The Agriculture industry followed with 98.884 million shares worth N1.344 billion, and the Services Industry with 93.000 million shares worth N522.147 million.

Trading in Access Holdings Plc, Guaranty Trust Holding Company Plc, and Zenith Bank Plc accounted for 629.327 million shares worth N25.820 billion, contributing 30.06% and 48.75% to the total equity turnover volume and value, respectively.

Sectoral performance was largely negative, with the NGX Insurance index leading the losses, down by 4.57%. The NGX Banking index followed, losing 2.20%, while the NGX Consumer Goods and NGX Oil & Gas indices shed 0.61% and 0.50%, respectively. The NGX Industrial Goods and NGX Commodity indices posted weekly declines of 0.26% and 0.10%, respectively.

Market breadth was negative, with 27 equities appreciating and 56 depreciating. VFD Group led the gainers with a 53.86% increase, while Royal Exchange led the decliners with a 20.79% decrease.

Analysts anticipate mixed performance in the coming week, with Cowry Assets Management Limited noting a cautious short-term outlook. Investors are focused on the March CPI data and the Q1 2025 macroeconomic report for clarity on the economy's direction and risk sentiment. Codros Capital analysts believe market sentiment will be shaped by global economic developments, the March inflation report, and fixed income yields.

Despite dividend announcements and corporate disclosures, uncertainty in the domestic and global economy triggered negative sentiment. The NGX All-Share Index (ASI) shed 0.9% to close at 104,563.34 points, its lowest in four weeks.

Investor apathy persisted despite a 90-day reprieve on U.S. tariffs, with local investors focusing on macroeconomic cues, profit-taking, and portfolio rebalancing. This led to sell-offs across sectors as investors rotated out of overbought stocks into safer counters. The market's weak breadth confirmed the bearish mood, with only 27 gainers compared to 56 losers.

The decline in market capitalization occurred despite the listing of 5.98 billion additional shares of First HoldCo Plc. Sectoral performance mirrored the bearish trend, with the NGX Insurance Index hit the hardest, down by 4.6%, followed by the banking index, falling by 2.20%. Consumer goods and oil and gas indices also declined.

Trading activity showed resilience, with weekly volume and value of trades rising significantly. Stocks such as VFD Group, Union Dicon, and ABBEYBDS delivered strong performances, while Royal Exchange, Cornerstone Insurance, and SovereignTrust Insurance were the worst performers.

Looking ahead, analysts at Cowry Asset Management Limited expect a cautious short-term outlook, with attention on key macroeconomic indicators. Analysts at Codros Capital said market sentiment is likely to be shaped by global economic developments, the March inflation report, and fixed income yields. Investors are expected to maintain a defensive stance, favoring value stocks with strong fundamentals and attractive dividend yields.