The NGX All Share Index (ASI) closed bearish for the second consecutive week, as investor appetite remained subdued despite ongoing dividend announcements and corporate disclosures. The overall capitalisation declined by N208 billion for the week, marking the lowest level in four weeks. The market capitalisation, which serves as a reflection of the overall market health, also dipped by N208 billion to close at N65.499 trillion. This decline can be attributed to the bearish sentiment prevalent in the market, as investors opted for more cautious approaches. Despite the lack of significant market-moving events, investors appeared to be focused on macroeconomic signals rather than company-level news. The 90-day pause on US tariffs offered some relief globally, but it failed to generate a meaningful rally on Nigerian equities. Instead, profit-taking and portfolio rebalancing dominated trading as investors rotated out of high-flyers and re-entered defensive counters. Some key factors contributing to the market’s negative outturn include dividend markdowns and bearish sentiments in prominent equities such as Guaranty Trust Holding Company (GTCO), Zenith Bank, and United Bank for Africa (UBA). These factors collectively resulted in a decline in the index’s performance. A closer examination of the market breadth reveals a negative trend. During the week, 31 equities appreciated in price, while 44 equities depreciated in price. Only 72 equities remained unchanged. This disparity highlights the market’s sensitivity to various economic and market-related factors. The performance of some notable stocks can be seen in the gainers and losers tables. Abbey Mortgage Bank led the gainers table by 46.17% to close at N8.96 per share, followed by Nigerian Breweries with a gain of 13.13% to close at N36.20 per share. Associated Bus Company also experienced a gain of 12.70% to close at N1.42 per share. In contrast, GTCO led the decliners table by 13.00% to close at N59.00 per share, followed by Zenith Bank with a loss of 11.91% to close at N44.00 per share. In terms of trading activity, a total of 1.525 billion shares were traded worth N43.006 billion in 51,156 deals. This represents a decrease from the previous week, where a total of 2.094 billion shares exchanged hands for N52.967 billion in 64,612 deals. Looking ahead, analysts at Cowry Assets Management Limited offer a cautious short-term outlook for the market. They believe that the short-term outlook is cautious and that the market is currently sitting in oversold territory. This, they argue, may provide a technical basis for a short-term rebound. The research firm also noted that sustained recovery will likely depend on improvements in economic indicators, policy clarity, and fresh triggers from corporate earnings. They expect sector rotation to continue, with investors favoring value names and defensive plays with strong fundamentals and resilient earnings power. For savvy investors, this dip could be a buying opportunity, particularly in counters with robust dividend yields, solid balance sheets, and positive technical setups. Key Highlights:

• Nigerian equities market closed bearish for the second week in a row
• NGX All Share Index (ASI) declined by 0.32% week-on-week to close at 104,233.81
• Market capitalisation declined by N208 billion to close at N65.499 trillion
• Analysts expect sector rotation to continue, favoring value names and defensive plays

**Market Analysis Table**

**Dividend Markdowns and Bearish Sentiments**
“Dividend markdowns and bearish sentiments in prominent equities such as Guaranty Trust Holding Company (GTCO), Zenith Bank, and United Bank for Africa (UBA) contributed largely to the index’s negative outturn.” This highlights the importance of macroeconomic signals in influencing investor appetite. Key Quotes

“the market is currently sitting in oversold territory, which may provide a technical basis for a short-term rebound.” – Cowry Assets Management Limited
“sustained recovery will likely depend on improvements in economic indicators, policy clarity, and fresh triggers from corporate earnings.” – Cowry Assets Management Limited

Technical Analysis
The market appears to be in oversold territory, which could provide a technical basis for a short-term rebound. Investors who buy now may benefit from the potential recovery. However, the market is subject to various economic and market-related factors, and sustained recovery will depend on improvements in economic indicators, policy clarity, and fresh triggers from corporate earnings.

Opportunities for Investors
For savvy investors, this dip could be a buying opportunity. They can look for counters with robust dividend yields, solid balance sheets, and positive technical setups. However, investors should be cautious and conduct thorough research before making any investment decisions.