The Nigerian stock market has been on a free fall over the last few weeks with the index posting a loss every single day except (July 17th) since the beginning of the month. The Index has so far lost over N794billion in market capitalisation.For passive investors who have little risk appetite this certainly may not be the best time for you to invest in the Nigerian Stock Exchange. Here are a few reasons why
Devaluation
This is perhaps the number one reason why the stock market has lost so much in the last 20 days. Most foreign investors, economists and local financial institutions believe the Naira is overdue for a devaluation. Recent pronouncements by the CBN is also not helping matters as it has further increased activities of speculators thus widening the disparity between the interbank rates and the black market rate. Investors see this trend and believe rightly or wrongly that the CBN will devalue soon. This has triggered a sell-off in the stock market as investors dump stocks and other naira denominated assets to guard against any devaluation. No one knows when this speculation will end so any investors who is not willing to take a bet should better stay off till there is more stability in the forex market.more on..........http://nairametrics.com/why-you-should-stay-out-of-the-stock-market/

Am even stucked rite now 2 say that I can't even sell my stock cos its below d cost prize.