The Nigerian equities market extended its positive run on Wednesday, September 23, as renewed buying interest in major banking, telecommunications and consumer stocks pushed the NGX All-Share Index to 251,191.02 points and lifted market capitalisation to ₦163.06 trillion.
The benchmark index advanced 0.23 per cent, marking the third consecutive positive session of the week, according to the Daily Market Update by Cordros Securities.
The latest gain pushed the market’s week-to-date return to 0.56 per cent, while month-to-date performance strengthened to 2.86 per cent.
Year-to-date, Nigerian equities have now returned 61.42 per cent, placing the index within striking distance of its 52-week high of 252,508.19 points.
The rally was supported by gains in MTN Nigeria, Zenith Bank, First HoldCo, NASCON Allied Industries and Nigerian Aviation Handling Company, which advanced by 0.6 per cent, 2.3 per cent, 1.4 per cent, 4.2 per cent and 7.7 per cent, respectively.
Trading Volume Jumps Nearly 90%
Investor activity strengthened considerably during Wednesday’s session, although the total value of transactions declined.
Total trading volume increased by about 90 per cent to 1.59 billion shares, compared with 837.26 million units recorded in the previous session.
The shares were valued at ₦45.82 billion and exchanged through 49,836 deals.
Trading value was 5.66 per cent lower than Tuesday’s ₦48.57 billion despite the sharp increase in transaction volume.
The combination suggests that much of Wednesday’s increased activity was concentrated in comparatively lower-priced shares rather than producing a corresponding rise in the naira value of transactions.
GTCO Dominates Trading by Value
Guaranty Trust Holding Company emerged as the most actively traded equity by value, accounting for ₦11.85 billion, equivalent to 25.87 per cent of market value.
Zenith Bank followed with transactions worth ₦4.39 billion, representing 9.59 per cent, while Fidelity Bank recorded ₦3.41 billion.
HBM Holdings accounted for ₦3.29 billion, while Aradel Holdings completed the five largest trades by value with ₦2.66 billion.
The figures indicate that banking stocks continued to attract substantial investor interest, with GTCO, Zenith Bank and Fidelity Bank occupying three of the top five positions by traded value.
By volume, the report’s table ranked FTGINSURE first with 170.72 million shares, followed by Fidelity Bank with 86.19 million units and GTCO with 36.49 million shares. Dangote Sugar and Chams completed the top five.
Eterna Leads 43 Gainers
Market breadth remained firmly positive as 43 equities appreciated against 20 decliners, producing a positive breadth ratio of about 2.2-to-one.
Eterna led the gainers after rising by the maximum 10 per cent, from ₦35 to ₦38.50.
Thomas Wyatt Nigeria followed with a 9.88 per cent increase to ₦2.78, while CMFC gained 9.76 per cent to close at ₦2.70.
HMCALL appreciated 9.70 per cent to ₦3.28, while Omatek gained 9.63 per cent to finish at ₦1.48.
At the opposite end of the market, Caverton Offshore Support Group recorded the steepest decline, dropping 9.09 per cent to ₦4.
University Press fell 9 per cent to ₦4.55, Wapic Insurance declined 6.30 per cent to ₦2.23, Veritas Kapital Assurance lost 5.45 per cent, while United Capital closed 5 per cent lower at ₦17.10.
Banking, Insurance Stocks Support Market
Sector performance was mixed despite the overall positive close.
The Insurance Index gained 1.1 per cent, making it one of the strongest sectoral performers, while the Banking Index advanced 0.9 per cent.
Consumer Goods gained 0.2 per cent, while the Oil and Gas Index increased 0.1 per cent.
Industrial Goods was the only sector highlighted by Cordros to close lower, declining 0.2 per cent.
The performance reinforces the role banking and financial-services companies continue to play in the current market rally.
Treasury Bill, Bond Yields Decline
Buying interest was not restricted to equities.
The Treasury bills secondary market also traded on a bullish note, with the average yield declining by 43 basis points to 18.4 per cent.
Cordros reported yield contractions across the short, mid and long ends of the curve, while the average yield in the Open Market Operations segment fell 14 basis points to 20 per cent.
The Federal Government bond market similarly recorded stronger demand, with the average yield falling 36 basis points to 15.9 per cent.
Demand was particularly evident in the February 2031, March 2036 and June 2038 bonds, where yields declined by 56, 49 and 65 basis points, respectively.
Naira Weakens Slightly to ₦1,328.71/$
In the foreign-exchange market, the official naira rate weakened marginally by four basis points to ₦1,328.71 to the dollar.
Despite the day’s marginal depreciation, the report showed the currency remained about 8 per cent stronger year-to-date.
Meanwhile, the overnight lending rate declined by 51 basis points to 21.76 per cent, reflecting the absence of significant funding pressure within the financial system.
The market update also placed Nigeria’s gross external reserves at $54.81 billion as of September 22, compared with $45.57 billion at the start of the year.
With the NGX All-Share Index now less than 1 per cent below its 52-week high, attention will remain on whether sustained demand for banking, telecommunications and other large-cap stocks can keep the market’s upward momentum intact through the remainder of September.
