The Nigerian Exchange Limited (NGX) has initiated 2025 on a strong note, recording a substantial gain of N1.25 trillion in market capitalization during the first trading week.
This impressive performance is attributed to heightened investor interest in blue-chip stocks across key sectors, notably banking, telecommunications, and industrial goods.
Market Performance Overview
The All-Share Index (ASI) experienced a 1.42% increase, closing at 103,586.33 points, while the market capitalization rose by 2.02% to N63.166 trillion.
This positive trajectory underscores the continuation of the bullish trend observed in 2024, reflecting growing investor confidence in the Nigerian equities market.
Trading Activity Highlights
The week witnessed a significant uptick in trading activities, with a total turnover of 2.618 billion shares valued at N69.742 billion across 47,953 deals.
This marks a notable increase from the previous week’s 1.387 billion shares worth N52.023 billion traded in 33,411 deals. The Financial Services Industry led the activity chart, contributing 66.88% to the total equity turnover volume.
Sectoral Performance
Sectoral indices exhibited mixed results:
NGX Insurance Index: Surged by 26.9%, indicating strong performance within the insurance sector.
NGX Consumer Goods Index: Increased by 2.2%, reflecting positive momentum in consumer goods.
NGX Banking Index: Rose by 0.6%, denoting modest gains in the banking sector.
NGX Industrial Goods Index: Edged up by 0.5%, showing stability in industrial goods.
NGX Oil & Gas Index: Declined by 0.4%, indicating slight underperformance in the oil and gas sector.
Market analysts project that the positive momentum will persist, supported by strategic positioning ahead of corporate earnings releases, sector-specific developments, and potential policy updates. The anticipation of increased foreign investor participation, driven by macroeconomic stability and anticipated currency reforms, further bolsters this outlook.
The Nigerian stock market’s robust start to 2025, marked by a N1.25 trillion gain in market capitalization, reflects sustained investor confidence and a favorable economic environment. As the year progresses, stakeholders remain optimistic about the market’s potential for continued growth and resilience.
