|By Babatunji Wusu
Nigeria’s stock market on Tuesday recorded its biggest single-day loss in history, wiping out N4.6 trillion from investors’ wealth as panic gripped the trading floor of the Nigerian Exchange Limited (NGX).
The market nosedived under intense sell pressure, with heavyweight stocks such as Dangote Cement and Oando tumbling by the maximum 10 percent. Data from the NGX showed that total market capitalisation plunged from N94.526 trillion to N89.884 trillion, while the All-Share Index (ASI) fell sharply by 7,454.60 points or 5.01 percent, closing at 141,327.30 points from 148,781.90 on Monday.
This crash marks one of the most dramatic collapses ever recorded on the Nigerian bourse, dragging the year-to-date return down to 37.31 percent.
Market breadth turned severely negative — 61 losers against only four gainers, a record imbalance in NGX’s trading history. Dangote Cement closed at N594 per share, while Oando sank to N429.30, both shedding 10 percent. NCR Nigeria, however, defied the trend with a 9.8 percent gain, topping the day’s chart.
Despite the losses, trading activity surged, as investors scrambled to dump shares. Volume soared by 80 percent, while turnover jumped by 159 percent to N29.4 billion, from N11.4 billion on Monday. A total of 655.9 million shares exchanged hands across 29,558 deals.
FBN HoldCo led in trade volume with 68.27 million shares, while GEREGU Power Plc topped in value at N4.42 billion.
Commenting on the crash, David Adonri, Vice Chairman of Highcap Securities Ltd, linked the market rout to a cocktail of negative factors — weak Q3 earnings, policy confusion, and fears over a proposed 30 percent capital gains tax.
“The market’s weakness had already shown last week before comments by U.S. President Donald Trump on Nigeria’s reforms deepened investor anxiety,” Adonri said. “Several banks couldn’t sustain dividend levels, while consumer goods firms reported poor results — all of which set the tone for the crash.”
He added that Trump’s remarks, though intended as praise, were misread as criticism, sparking panic exits and eroding investor confidence. Adonri warned that the proposed capital gains tax hike has scared off institutional and foreign investors, describing it as a ‘jumbo tax penalty’.
“Many big investors are already pulling out or withholding new investments,” he cautioned.
