Nigeria's Stock Market Soars: A Week of Massive Gains and New Highs
Nigeria's equity market had a remarkable week, with investors driving the market value past $66 billion, an impressive $2.5 billion increase in just one week. The All Share Index surged by 3.71%, reaching 162,298.08 points, firmly establishing the market in bullish territory.
This surge propelled the market above the ₦100 trillion threshold, a significant milestone that analysts attribute to improving sentiment and a growing appetite for risk assets. The momentum continued on Friday, with the index gaining 0.93% in a single session, resulting in a year-to-date return of 4.30%.
The driving force behind this week's trading was the banking and telecommunications sectors, with MTN Nigeria, Access Holdings, GTCO, Zenith Bank, and Jaiz Bank attracting substantial demand. Despite a slight decline in overall trading activity, these heavyweights helped anchor the market's gains.
Total turnover for the week was ₦94.03 billion, or approximately $61 million, across 248,254 deals, down from the previous week's ₦134.47 billion, or around $87 million. The market activity was mixed, peaking mid-week and then easing towards Friday.
The financial services industry dominated trading, accounting for nearly two-thirds of the total volume. Services and ICT sectors followed, reflecting investor interest in consumer-facing and technology-linked stocks. Universal Insurance, Linkage Assurance, and Access Holdings were the most traded by volume, contributing over 30% of total shares exchanged.
The market breadth remained positive, with 84 equities recording price gains, outperforming the previous week's performance, while only 22 stocks declined. Among the top gainers were mining, healthcare, and industrial-related companies, led by Multiverse Mining and Exploration.
On the losing side, Aluminium Extrusion Industries and a few insurance and hospitality stocks posted declines. Exchange-traded products saw a slowdown in activity, with volumes and values falling sharply week-over-week. All sectoral indices closed higher, except for the Sovereign Bond Index, which ended flat.
Analysts predict that maintaining the ₦100 trillion level could sustain confidence and attract fresh inflows, supported by bargain hunting and improved corporate earnings expectations in the coming months.
