The bear dominance on the Nigerian Exchange (NGX), continued to the last trading day last week, as profit taking and sell pressure hit the highly priced stocks and blue chip companies, even as investors eye inflation and half year, H1’24 earnings reports to make investment decisions.

Consequently, investors lost over N140. The selloffs also weighed down another benchmark, NGX All-Share Index, ASI forcing it to close lower at 99,671.28 points from 100,022.03 points the previous week.

Analysts attributed the downtown to lack of positive triggers to spur strong buying interest.

There were sell pressures on Guaranty Trust Holding Company, GTCO Plc which led to the decline in its price by 3.9%, Transcorp 1.0%, Seplat 1.7% and UBA 4.0%, which drove the ASI lower by 0.4% Week on Week, W/W resulting in Month-to-Date and Year-to-Date returns of -0.3% and +33.3%, respectively.

Specifically, market capitalisation which represents total value of investors’ assets on the Exchange, declined to N56.44 trillion from N56.58 trillion the previous week.

Despite this, activity levels were stronger than the previous week, with total trading volume and value increasing by 22.4% W/W and 173.5% W/W respectively.

Commenting on the market outlook, analysts at Cordros Research stated: “As the half-year earnings season approaches, we believe investors will look for signs of improvement following the broadly lacklustre Q1’24 corporate earnings. Consequently, we expect mixed market performance in the coming week, with bargain-hunting balanced by intermittent profit-taking activities.”

In their own remark, analysts at Investdata Consulting stated: “We expect mixed sentimnts and bargain hunting as pullbacks had created new entry opportunities for discerning market players ahead of earnings reporting season kicking off any moment from now, as portfolios repositioning continue, while taking advantage of pullbacks to buy into value.

"This is amid the volatility and pullbacks that add more strength to upside potential. Consequently, investors should take advantage of price correction. Also looking at the trends and events across the globe and domestically.”