NGX Adds Over N3 Trillion in Market Value as Buying Momentum Strengthens

The Nigerian Exchange (NGX) recorded one of its strongest trading sessions in recent weeks on Monday as renewed investor confidence lifted the benchmark index by 1.20 percent, pushing equity market capitalisation above N157 trillion and extending the market’s upward momentum.

The NGX All-Share Index (ASI) climbed to 244,199.39 points, while equity market capitalisation rose to N157.739 trillion, representing an increase of more than N3 trillion compared with the N154.442 trillion recorded at the close of trading on August 27.

The rally followed the release of stronger-than-expected second-quarter economic growth data with Nigeria’s economy expanding 4.43 percent year-on-year, up from 3.89 percent in the first quarter.

While the trading data alone cannot establish that the GDP report caused the rally, the timing and composition of Monday’s market performance suggest investors responded positively to the improving macroeconomic outlook.

Unlike previous sessions, where gains were largely concentrated in banking stocks, Monday’s advance reflected broader market participation.

Trading activity strengthened across key market indicators.

Investors executed 53,471 deals, compared with 40,323 deals recorded on August 27. Trading volume increased to 606.19 million shares from 499.96 million shares, while the value of transactions climbed to N38.70 billion, up from N35.15 billion.

The simultaneous increase in the number of deals, trading volume and transaction value indicates stronger market participation rather than a rally driven by a handful of large transactions.

Banking stocks nevertheless remained the market’s principal source of liquidity.

Access Holdings Plc led trading by volume with 126.54 million shares worth N3.95 billion.

GTCO Plc generated the highest transaction value among the day’s most active equities after investors exchanged 33.18 million shares valued at N4.43 billion, while UBA Plc recorded 31.49 million shares worth N1.45 billion.

The continued dominance of banking stocks suggests investors maintained confidence in financial institutions even as buying interest spread to other sectors.

Market leadership also became more diversified.

The day’s top gainers included Omatek Ventures Plc, which appreciated 10.00 percent, Ikeja Hotel Plc, up 9.95 percent, Sovereign Trust Insurance Plc, which gained 9.94 percent, SUNU Assurance Nigeria Plc, up 9.86 percent, and Royal Exchange Plc, which advanced 9.09 percent.

The mix of technology, hospitality and insurance stocks among the leading gainers represents a notable shift from the narrower rallies observed during the previous week, when banking stocks accounted for much of the market’s advance.

The expansion in sector participation suggests improving investor confidence beyond the financial services industry.

Exchange-traded funds also maintained their positive momentum.

SIAMLETF40 gained N15.22, MERVALUE advanced N9.10, MERGROWTH appreciated N4.93, while GREENWETF and VETBANK also closed higher, indicating sustained investor interest in diversified investment products.

In contrast, activity in the bond market remained subdued, with the benchmark securities provided closing unchanged, suggesting investor attention remained firmly focused on equities.

The latest trading session builds on the gradual improvement observed over the past week but marks a clear acceleration in buying momentum.

Previous advances were largely driven by institutional demand for banking stocks. Monday’s rally combined continued strength in financial institutions with broader participation across multiple sectors, higher trading activity and a substantial increase in market value.

Although further trading sessions will determine whether the momentum can be sustained, Monday’s performance suggests investors are becoming increasingly optimistic about Nigeria’s economic outlook following stronger GDP growth, with capital flowing more confidently into the equity market.