The first trading week of November saw a sharp decline in the stock market as investors at the Nigerian Exchange Limited (NGX) lost a staggering N2.8 trillion. From November 3 to November 7, the market had a negative trading week, losing in each of the five trading sessions. This followed US President Donald Trump’s threat of a military invasion of Nigeria, which caused market anxiety and a sell-off. Nigeria was designated as a “Country of Particular Concern” by Trump on the final Friday. On Saturday, he threatened an invasion.If the government does not move quickly to address the alleged genocide against Christians, the US President has threatened to stop all US help to the country. Additionally, there are concerns that the US President’s scathing remarks will increase the risk premium on Nigerian assets and jeopardize the recent progress made by the country’s reforms before trading begins this coming week. The NGX All-Share Index and Market Capitalization fell from Friday’s highs of 154,126.46 points and N97.829 trillion, respectively, to 153,739.11 points and N97.582 trillion on Monday, the first trading day following Trump’s ultimatum over the weekend.
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