The Nigerian Exchange Limited reached a historic high as a surge in the Oil & Gas sector drove the All-Share Index to an unprecedented 171,727.49 points. The total market capitalisation rose to N110.23tn over the past week, representing a robust 3.8 per cent weekly appreciation.
This bullish performance was primarily fuelled by renewed investor confidence and positive reactions to ongoing corporate releases.
The Oil & Gas index emerged as the week’s undisputed champion, skyrocketing 10.88 per cent as Aradel and Seplat saw their share prices appreciate 15.7 per cent and 10.0 per cent, respectively. The momentum spilt over into other key sectors, with the Industrial Goods index gaining 4.36 per cent on the back of price upticks in Dangote Cement (+7.1 per cent) and WAPCO (+6.4 per cent). Additionally, the Banking index added 3.6 per cent to the overall market gains, supported by strong performances from Wema Bank (+6.8 per cent) and FBN Holdings (+4.4 per cent).
Trading activity levels rose as investor participation increased across the board. The total turnover volume for the week hit 3.860 billion shares, a significant rise from the 3.087 billion shares recorded the previous week. Even more striking was the value of these transactions, which surged 98.3 per cent to settle at N128.58bn. The Financial Services Industry remained the primary engine of market liquidity, contributing 56.68 per cent of the total turnover volume. In terms of volume, Chams Holding Company, Access Holdings, and Universal Insurance were the most actively traded equities. However, when measured by value, investors heavily concentrated their capital on Presco (N12.6bn), GTCO (N12.6bn), and Zenith Bank (N10.6bn).
The market breadth remained overwhelmingly positive, with 71 equities closing in the green, while only 35 recorded price declines. R.T. Briscoe led the advancers’ table with a stunning 60.7 per cent gain, closely followed by Zichis Agro Allied Industries at 60.4 per cent. Abbey Mortgage Bank and Union Dicon Salt also posted impressive returns of 59.0 per cent and 49.1 per cent, respectively.
On the flip side, DEAP Capital Management & Trust suffered the heaviest loss, dropping 27.4 per cent. Other significant decliners included UH Real Estate Investment Trust (-27.0 per cent), Red Star Express (-17.5 per cent), and Omatek Ventures (-12.0 per cent). The insurance index stood out as the lone laggard among major sectoral indices, depreciating by 2.3 per cent due to significant losses in Cornerstone Insurance (-12.2 per cent) and Sunu Assurances (-11.9 per cent).
Analysts attribute this bullish streak to a “fragile but positive” stabilisation of macroeconomic indicators and a shift toward productivity-led growth. Looking forward, the bullish performance is expected to be sustained in the near term, supported by improving investor sentiment and the continued release of corporate earnings results, though some profit-taking may emerge following the recent rally.
Analysts at Afrinvest said that in the coming week, they expect the “bullish performance to be sustained, supported by improving investor sentiment and the continued release of earnings results”.
The experts at AIICO Capital echoed similar sentiments, saying, “We expect the market to sustain its positive sentiment in mid- to high-cap stocks in relation to released earnings and the bid for dividend season. However, profit-taking from the recent rally may emerge.”
