Market capitalization of listed equities at the Nigerian Stock Exchange (NSE) dropped by 16.9 per cent in the three months from 1 June to the last day of trading in August, the local Punch newspaper reported Thursday.
It said the market capitalization of the 194 First-Tier securities recorded a loss of 1.39 trillion naira, falling from 8.273 trillion naira to 6.877 trillion naira during the period (US$1=150 naira).
Also, it said the NSE All-Share Index fell from 25,875.31 in June to 21,497.61 points in August – a loss of 4,337.70 points.
The market capitalization is the total number of shares in the market multiplied by the price of each share.
The paper quoted market analysts as saying the persistent decline was due to the crisis in North Africa and the Middle East, insecurity in Nigeria following April’s general elections and the news of the acquisitions of three banks by the Asset Management Corporation of Nigeria