Investor confidence strengthened on the Nigerian Exchange (NGX) last week as sustained buying across banking, oil and gas, consumer goods and insurance stocks lifted the market by 2.36 percent to add approximately N3.7 trillion to investors’ wealth in one of the Exchange’s strongest weekly performances in recent months.
The NGX All-Share Index (ASI) climbed from 241,298.47 to 246,992.44, while equity market capitalisation rose 2.40 percent to close at N159.559 trillion, extending the market’s year-to-date return to 58.72 percent.
The rally was accompanied by a sharp improvement in market activity.
Investors traded 4.360 billion shares worth N210.331 billion in 223,284 deals, compared with 2.507 billion shares valued at N123.223 billion exchanged in 173,561 deals during the previous week.
The figures represent a 73.9 percent increase in trading volume, a 70.7 percent rise in transaction value and a 28.6 percent increase in the number of deals.
Unlike the previous week, when gains were concentrated in a relatively small number of heavyweight stocks, the latest rally was supported by broader market participation.
A total of 56 equities appreciated during the week, more than double the 24 gainers recorded a week earlier, while the number of declining stocks fell to 35 from 55. Unchanged equities also declined from 68 to 56, reflecting stronger buying interest across listed companies.
Financial stocks remained the primary source of market liquidity.
The Financial Services sector accounted for 3.580 billion shares valued at N88.635 billion, representing 82.10 percent of total trading volume and 42.14 percent of total market value.
The sector maintained its position as the Exchange’s dominant driver of activity, with Fortis Global Insurance Plc, United Bank for Africa Plc and Access Holdings Plc accounting for 2.287 billion shares worth N35.232 billion, or 52.46 percent of the week’s trading volume.
Sector performance also reflected the improving sentiment.
The NGX Oil & Gas Index emerged as the week’s best-performing sector after advancing 9.10 percent, while the Consumer Goods Index gained 4.47 percent, the Insurance Index rose 3.85 percent and the Banking Index added 3.58 percent.
Only the Industrial Goods Index and the Sovereign Bond Index ended the week lower, declining 0.35 percent and 0.36 percent, respectively.
Among individual stocks, Royal Exchange Plc led the gainers with a 25.00 percent appreciation, followed by Champion Breweries Plc, Nigerian Breweries Plc, Coronation Insurance Plc and McNichols Consolidated Plc.
On the losing side, Beta Glass Plc posted the steepest decline, followed by NASCON Allied Industries Plc, Red Star Express Plc, R.T. Briscoe (Nigeria) Plc and University Press Plc.
Beyond equities, trading activity also improved in other market segments.
Exchange-traded fund (ETF) transactions increased to 2.102 million units valued at N425.921 million, while bond market turnover rose to 295,465 units worth N293.761 million, both exceeding the previous week’s performance.
The week’s performance points to strengthening investor confidence and improving market participation.
The sharp rise in turnover, broader market breadth and positive performance across major sectors indicate that the latest rally was supported by stronger capital inflows rather than isolated gains in a handful of large-cap stocks, suggesting the Nigerian equity market entered September with renewed momentum.
