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39 firms drag Nigerian stock market to 4th consecutive losses

The Nigerian stock market recorded its fourth consecutive day of decline as 39 companies experienced losses, leading to a continued drop in investors’ confidence. Market experts say the downward trend is driven by sell-offs across key sectors, especially banking, industrial goods, and consumer goods. This persistent decline has increased worries among traders and analysts, who fear the market may remain unstable if sentiments do not improve soon. Many investors are adopting a cautious approach as economic pressures continue to weigh on financial markets.

Reports show that major stocks, including some top-tier companies, saw significant price drops, contributing to the overall market slide. Analysts believe that uncertainties in government fiscal policies, inflation concerns, and fluctuating foreign exchange rates are some of the major factors affecting investor behaviour. They also explained that global economic tension and slow capital inflow into emerging markets like Nigeria are adding to the pressure on local stocks.

Despite the negative performance, a few stocks still managed to record gains, though not enough to balance the market decline. Market watchers say the mixed performance reflects investors’ attempt to protect their portfolios while staying alert to new opportunities. The trading session also recorded a fall in market capitalization, showing a reduction in the total value of listed companies. This gap emphasizes the need for renewed investor confidence and market stability.

Financial analysts are calling on regulators and policymakers to introduce measures that could restore investors’ trust and stabilize the market. Suggestions include improving foreign exchange policies, supporting key economic sectors, and encouraging foreign investment to boost liquidity. They also warn that without proactive intervention, the market may continue to experience volatility in the coming weeks.

For regular investors, experts advise patience and proper analysis before making trading decisions. They recommend focusing on strong stocks with long-term potential and avoiding panic selling. As the market battles its fourth straight loss streak, Nigerians remain hopeful for a rebound and a return to positive trading momentum.

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