The Nigerian Exchange Limited (NGX) began the new trading week with a decisive shift in momentum as investors returned to the market, hunting for value across key stocks and pushing equities deeper into positive territory despite ongoing economic headwinds.
By the close of trading on Monday, renewed demand lifted total market capitalisation by N745bn to N104.52tn, from N103.78tn in the previous session. The All-Share Index also strengthened, rising by 946.61 points or 0.58 per cent to settle at 163,244.69 points, signalling growing confidence among market participants.
Beyond price gains, trading activity reflected stronger engagement. Investors exchanged 1.15 billion shares valued at N19.21bn across 59,326 deals. This represented a sharp 84 per cent jump in traded volume, alongside a four per cent increase in turnover and a 35 per cent rise in deal count compared with the last trading day.
Market breadth was firmly positive, as 49 stocks recorded gains against 20 decliners among the 128 equities that participated in the session, reinforcing the broadly bullish tone.
Leading the advance were several mid- and small-cap stocks, with E-Tranzact International, Red Star Express, McNichols, UPDC, RT Briscoe and Deap Capital Management and Trust each posting the maximum 10 per cent gain allowed for the day. Their strong performances reflected intensified bargain hunting, particularly in stocks perceived to be undervalued.
However, not all equities shared in the rally. Champion Breweries led the laggards, shedding 8.51 per cent to close at N15.05, while Eunisell Interlinked declined by 8.01 per cent to N156.20. Ikeja Hotel, Guinea Insurance, Omatek Ventures and Lasaco Assurance also ended the session in negative territory.
Activity in the market was concentrated in insurance and banking stocks. Sovereign Trust Insurance topped the volume chart with more than 307 million shares traded, followed by Fidelity Bank with about 158 million units. Linkage Assurance and Mutual Benefits Assurance also recorded heavy trading.
In value terms, Fidelity Bank led with transactions worth N3.14bn, while Aradel Holdings, Zenith Bank, Eunisell Interlinked and Sovereign Trust Insurance contributed significantly to market liquidity.
Market analysts attributed the upbeat performance to investor repositioning ahead of full-year earnings releases, combined with sustained interest in banking and insurance stocks following the market’s climb above the N100tn capitalisation threshold. While they expect buying interest to continue in the near term, analysts cautioned that intermittent profit-taking remains likely.
Still, the NGX’s robust opening to the week underscores its resilience and growing appeal, reinforcing its status as one of the region’s strongest-performing equity markets even as broader macroeconomic pressures persist.