NGX Opens Strong, Gains N611bn in Market Capitalisation Surge

The Nigerian Exchange Limited (NGX) began the week on a strong note, with investors recording significant gains as market capitalisation rose by N611 billion at the close of trading. The bullish momentum marked a positive start for equities, buoyed by renewed investor confidence and robust performances across key sectors.

Data from the exchange revealed that the market capitalisation increased from N93.86 trillion recorded in the previous session to N94.47 trillion, reflecting a 0.65 per cent appreciation. Similarly, the All-Share Index (ASI) rose by 1,075.52 points to close at 166,804.31 points, signaling improved market sentiment among investors.

Market analysts attributed the positive rally to increased buy pressure in blue-chip and banking stocks, as well as renewed optimism in the economy following recent fiscal and monetary policy adjustments. The financial, industrial, and consumer goods sectors led the charge, with several large-cap companies driving the market’s uptrend.

Stocks such as Dangote Cement, BUA Foods, Zenith Bank, MTN Nigeria, and Seplat Energy were among the top gainers that contributed to the overall growth in market value. These equities witnessed strong investor demand due to attractive valuations, dividend prospects, and confidence in their earnings potential.

Analysts also linked the market rebound to the steady improvement in macroeconomic indicators and rising foreign investor participation. The Central Bank of Nigeria’s ongoing monetary tightening measures, aimed at stabilising the naira and controlling inflation, have helped to restore relative calm to the financial markets, spurring investors to take positions in undervalued assets.

During the session, trading activity increased significantly as market turnover improved. A total of 802.75 million shares valued at N13.4 billion were exchanged in 9,456 deals, representing a notable rise compared to previous sessions. The financial services sector remained dominant in terms of volume and value, with FBN Holdings, Access Holdings, and GTCO emerging as the most traded stocks.

Sectoral performance was broadly positive, with gains recorded in the banking, industrial goods, and consumer goods indices. The insurance and oil & gas sectors also showed moderate improvement, reflecting a broad-based rally across the market.

Speaking on the development, the Chief Research Officer at InvestData Consulting, Ambrose Omordion, noted that the strong start was a reflection of investors’ growing optimism about the Nigerian economy. “The market’s performance indicates renewed confidence in the fiscal direction of the government and the resilience of the corporate sector. Investors are positioning ahead of Q3 earnings reports, which are expected to be largely positive,” he said.

Another market analyst, Mr. David Adonri of Highcap Securities, said that the rally was partly driven by strategic portfolio rebalancing by institutional investors and expectations of improved dividend yields. He added that liquidity in the system and moderate inflationary pressures were encouraging short-term investors to take advantage of current price levels.

Despite the positive outlook, experts have cautioned that short-term profit-taking may slow down the rally in subsequent sessions. They advised investors to remain cautious and focus on fundamentally sound stocks with long-term growth potential.

The NGX has continued to show resilience in 2025 despite global economic uncertainties and domestic policy shifts. The market’s performance has been largely influenced by reforms in the financial and energy sectors, foreign exchange stability, and the government’s efforts to stimulate investment.

Investors are also optimistic about the potential impact of Nigeria’s growing oil production and infrastructure development, which could boost corporate profitability and attract more foreign direct investment. The improved liquidity position in the capital market, coupled with increased participation by retail investors, has further strengthened market depth and diversity.

With the market maintaining a positive trajectory, analysts predict that the uptrend could continue if macroeconomic conditions remain stable and earnings results meet expectations. They emphasised that policy consistency, transparent regulation, and investor protection will be critical in sustaining the current market momentum.

The NGX’s strong opening this week underscores renewed investor confidence and a favourable outlook for the Nigerian capital market. As corporate earnings season approaches and economic indicators improve, stakeholders anticipate that the market will continue to attract both local and international investors seeking growth opportunities in Africa’s largest economy.