The Nigerian stock market’s recent rally came under pressure on Thursday as heavy losses in Dangote Cement, Presco, UAC of Nigeria (UACN) and HBM Nigeria wiped N3.28 trillion off the value of listed equities.

The decline pushed the Nigerian Exchange (NGX) All-Share Index below the 250,000-point mark for the first time in recent sessions, following a sharp reversal in some of the market’s biggest stocks.

The benchmark index shed 5,052.22 points, representing a 1.98 percent decline, to close at 249,710.59 points from 254,762.81 points recorded on Wednesday.

Market capitalisation dropped to N162.13 trillion from N165.42 trillion, reversing the gains recorded in the previous two trading sessions.

Dangote Cement accounted for the largest share of the losses after its share price fell 10 percent to N1,341 from N1,490. The decline wiped an estimated N2.5 trillion off its market value, representing roughly three-quarters of Thursday’s overall market loss.

Presco also lost 10 percent to close at N1,656.80, while UACN fell 7.85 percent to N166.80. HBM Nigeria declined 7.71 percent to N323.

The losses were not limited to industrial and agricultural stocks. Nigerian Breweries fell 2.50 percent, First HoldCo declined 2.40 percent, while Nigerian Exchange Group shed 2.24 percent.

Other banking heavyweights, including GTCO, Zenith Bank and UBA, also closed lower.

The pressure was most pronounced in the industrial goods sector, whose index fell 7.14 percent. The insurance index lost 2.51 percent, while the banking index declined 0.66 percent.

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Market breadth reflected the negative sentiment, with 36 stocks closing lower against 20 gainers.

Yet, trading activity told a different part of the story. Rather than slowing down as share prices fell, transactions increased considerably, with 856.28 million shares worth N74.09 billion exchanged in 33,540 deals.

This compared with 552.31 million shares valued at N37.46 billion in the previous session.

First HoldCo dominated trading, accounting for 478.42 million shares worth N44.94 billion. The volume represented 55.87 per cent of total shares traded, while its transaction value accounted for 60.66 percent of market turnover.

The heavy activity in the stock came despite a 2.40 percent decline in its share price, suggesting substantial repositioning by market participants.

There were pockets of buying interest elsewhere. CWG gained 9.94 percent to N17.15, Abbey Mortgage Bank rose 9.84 percent to N6.70, while Honeywell Flour Mills and eTranzact advanced 9.82 percent and 9.71 percent respectively.

Transcorp Power also gained 8.18 percent to close at N219.60.

Thursday’s decline came against the backdrop of a market that had gained 60.47 percent since the beginning of the year. That rally had lifted valuations across several listed companies, making the latest correction particularly important for investors assessing whether current share prices can be sustained.

The concentration of losses in a few large companies also highlights how movements in heavyweight stocks can determine the direction of the broader market, even when several smaller equities continue to attract buyers.

With Dangote Cement and other major stocks facing renewed selling pressure, investors will be watching subsequent sessions for signs that the correction is easing or spreading to more parts of the market.