The Nigerian stock market defied regulatory jitters and macroeconomic uncertainties to post a remarkable N1.75 trillion surge in market capitalisation, amid renewed investors’ confidence in the banking, oil and gas and consumer goods sectors.
This represented a 2.4 per cent week-on-week gain, bringing the total market capitalisation to an impressive N74.53 trillion.
The rally came despite the initial market anxiety following a directive from the Central Bank of Nigeria (CBN), which restricted banks from paying dividends or making fresh investments in their offshore subsidiaries.
The announcement triggered early-week selloffs. But optimism soon returned as investors looked past short-term regulatory noise to refocus on underlying value opportunities across key sectors.
This bullish momentum is also reflected in the performance of the all-share index (ASI) as year-to-date (YTD) return rose to 14.8 per cent.
This underscores the resilience of the equities market, which continues to attract capital even amid an evolving policy landscape and broader economic challenges.
Investor participation intensified across the board, as evidenced by significant increases in trading volume, value and activity.
A total of 3.39 billion shares were exchanged on the Nigerian Exchange during the week, up by 65.6 per cent from the 2.05 billion shares traded the previous week.
Market value traded soared to N108.72 billion, a 114.52 per cent jump from N50.68 billion, while the number of executed deals surged to 95,625, a 47.79 per cent rise compared to 64,702 recorded the week before.
These figures highlight a growing sense of investor conviction and rising institutional and retail engagement.
Across sectors, the market recorded broadly positive performances, led by a strong rally in the oil and gas sector. The oil and gas index posted a 5.27 per cent weekly gain, powered by impressive price appreciation in Seplat and MRS.
The commodity index followed with 4.37 per cent as stocks like FTNCocoa and Presco attracted significant buy interest.
The banking index appreciated by 3.6 per cent, rebounding from early-week pressure as investor confidence returned to lenders such as GTCO and Stanbic IBTC. The Insurance sector added 2.37 per cent, while consumer goods rose 2.16 per cent amid strong demand for stocks including Custodian and Ellah Lakes.
The only laggard on the market was the industrial goods index, which dipped by 36 basis points. This decline was largely driven by profit-taking and selloffs in Holt, Enamelware, RT Briscoe and Dangote Cement.
Analysts at Cowry Research maintained a cautiously optimistic outlook heading into the new week. With over N283 billion in Nigerian Treasury Bills (NT-bills) maturing and no scheduled NT-bills auction, excess liquidity in the financial system could find its way into the equities market, potentially fueling further rallies.
The continuation of the dividend season and a growing perception of undervalued opportunities are also expected to sustain buying momentum.