Nigeria’s equities market began September on a positive note, with the NGX All-Share Index (ASI) gaining 2.36 percent in the first trading week of the month. The record increase was supported by stronger trading activity and improved market breadth.
The benchmark index closed the week ended Friday, September 4 at 246,992.44 points, up from 241,298.47 points the previous week, while equities market capitalisation rose 2.40 percent to N159.559 trillion. The performance lifted the market’s year-to-date (YtD) return to 58.72 percent.
Performance was positive across most market indices. The NGX Oil and Gas Index led with a 9.10 percent weekly gain, while the Commodity, Insurance, Premium and Banking indices rose 5.99 percent, 3.85 percent, 3.73 percent and 3.58 percent, respectively. The Industrial Goods Index and Sovereign Bond Index were the exceptions, declining 0.35 percent and 0.36 percent.
The first trading week of September therefore built on the market’s positive close to August, with the combination of higher turnover, stronger market breadth and gains across most indices pointing to sustained investor activity at the start of the new month.
Trading activity accelerated during the review week, with investors exchanging 4.360 billion shares worth N210.331 billion across 223,284 deals, compared with 2.507 billion shares valued at N123.223 billion in 173,561 deals in the preceding week. This represents a 70.7 percent increase in turnover value and a 73.9 percent rise in volume week-on-week.
The Financial Services sector dominated activity, accounting for 3.580 billion shares worth N88.635 billion across 99,488 deals. The sector contributed 82.10 percent of total equity turnover volume and 42.14 percent of value, while Consumer Goods and Services followed with 188.039 million shares and 142.292 million shares, respectively.
Fortis Global Insurance, United Bank for Africa and Access Holdings were the three most actively traded equities by volume, jointly accounting for 2.287 billion shares worth N35.232 billion, representing 52.46 percent of total market volume during the week.
Market breadth strengthened considerably, reflecting broader participation in the week’s rally. Fifty-six equities appreciated in price, more than double the 24 gainers recorded in the previous week, while decliners fell to 35 from 55. Fifty-six equities closed unchanged.
Royal Exchange led the gainers with a 25 percent increase, followed by Champion Breweries at 20.10 percent and Nigerian Breweries at 18.80 percent. Coronation Insurance gained 17.07 percent, while McNichols Consolidated advanced 16.67 percent.
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