The Nigerian equities market gained N1.29 trillion in market capitalisation last week, rising to N155.83 trillion as renewed buying interest in selected banking and oil and gas stocks helped the market to recover from the previous week’s pullback.

The positive performance pushed the Nigerian Exchange Limited (NGX) All-Share Index (ASI) up by 0.81 per cent week-on-week to 241,298.47 points, while the market’s year-to-date return increased to 55.06 per cent.

The recovery was supported mainly by renewed demand for selected large- and mid-capitalised stocks, particularly in the banking and oil and gas sectors.
Market data showed that the gains were concentrated in a relatively small number of heavyweight stocks as overall market participation weakened during the week.

Investor sentiment received a boost following the confirmation by FTSE Russell that Nigeria will be reclassified from unclassified to frontier market status from September 21, 2026.

The reclassification will mark Nigeria’s formal return to the global frontier market universe and is expected to strengthen investor confidence and improve the country’s visibility among international investors.

Despite the positive movement in the benchmark index, market breadth remained weak, underscoring the rally’s selective nature. A total of 55 stocks recorded price declines during the week, compared with only 24 gainers, resulting in a breadth ratio of 0.44 times.

Trading activity also weakened considerably, with the number of deals declining by 6.92 per cent, while the volume and value of transactions fell by 59.84 per cent and 21.84 per cent week-on-week, respectively.

A total of 2.51 billion shares valued at N123.37 billion were exchanged in 173,848 deals during the week, reflecting reduced investor participation despite the advance recorded by the benchmark index.

Sectoral performance was largely positive, led by the oil and gas sector, which rose by 4.54 per cent on strong buying interest in Seplat Energy, whose share price gained 10 per cent during the week.

The consumer goods sector advanced by 2.93 per cent, supported by renewed demand for Guinness Nigeria, while the banking sector gained 2.85 per cent as investors increased their positions in selected tier-one banking stocks.

First HoldCo and Access Holdings were among the notable performers in the banking sector, while United Bank for Africa also recorded gains.
Their relatively large weights in the market helped provide significant support for the broader benchmark.

However, the gains in these sectors were partly offset by losses in the insurance sector, which declined by 1.27 per cent. The sector was dragged down by losses in International Energy Insurance, Veritas Kapital Assurance and SUNU Assurances Nigeria.

The industrial goods sector also slipped by 0.15 per cent following profit-taking in Austin Laz and Cutix.

The mixed sectoral performance further reflected the increasingly stock-specific nature of trading on the NGX, as investors continued to concentrate on selected liquid stocks and companies considered to have strong fundamentals.