The Nigerian equities market kicked off the new trading year on a strong footing, posting moderate gains in its first session as investor sentiment leaned positive across most sectors of the market. The benchmark All-Share Index (ASI) advanced by 0.6 percent to close at 156,492.5 points, reflecting renewed buying interest in select large- and mid-cap stocks.
With this opening performance, both the Month-to-Date (MTD) and Year-to-Date (YTD) returns settled at +0.6 percent, setting an encouraging tone for the year ahead. Market activity was largely driven by gains in heavyweight stocks such as BUA Foods, Transcorp, and MTN Nigeria, which helped offset pockets of profit-taking seen in a few counters.
BUA Foods emerged as one of the standout performers, appreciating by 6.8 percent as investors continued to position in consumer names with strong fundamentals. Transcorp followed closely, recording a significant 10.7 percent gain, suggesting heightened interest in conglomerate stocks at the start of the year. MTN Nigeria also closed higher, adding 1.4 percent and lending support to the overall market due to its substantial index weighting.
Despite the positive price performance, trading activity slowed notably compared to the previous session. Total volume traded declined by 64.2 percent to 439.95 million units, while the total value of transactions stood at NGN24.97 billion. These trades were executed across 40,245 deals, pointing to a cautious but optimistic participation by investors.
CHAMS Holding Company led the activity chart by volume, with 120.30 million units exchanged during the session, indicating strong retail interest in the stock. On the value side, ARADEL Holdings topped the list, accounting for NGN10.74 billion worth of trades, underscoring institutional participation in select high-value names.
Sectoral performance during the session was broadly positive. The Banking Index recorded the strongest gain, rising by 2.3 percent as investors accumulated tier-one and select mid-tier banking stocks. The Insurance Index followed with a 2.1 percent increase, while the Oil & Gas Index advanced by 1.4 percent amid renewed interest in energy-related counters. The Consumer Goods Index also closed higher, albeit modestly, with a 0.2 percent gain. In contrast, the Industrial Goods Index ended the day flat, reflecting subdued activity in cement and construction-related stocks.
Market breadth further confirmed the upbeat sentiment, closing firmly positive at 5.2x. A total of 52 stocks recorded price appreciation, compared to just 10 losers. ABCTRANS and MBENEFIT topped the gainers’ chart, each rising by the maximum daily limit of 10.0 percent. On the downside, ABBEYBDS shed 6.3 percent to lead the losers, while FCMB declined by 4.6 percent.
Overall, the first trading session of the year suggests cautious optimism among investors, supported by selective buying in fundamentally strong stocks. As the year unfolds, market participants are likely to keep a close watch on macroeconomic developments, corporate earnings, and policy signals to guide investment decisions.
