NGX rebounds 0.77% as market value jumps N1.2trn, ASI return

Nigerian equities bounced sharply into positive territory as investors returned to major stocks, adding about N1.2 trillion to market capitalisation and pushing the NGX All-Share Index (ASI) up 0.77 per cent to 246,082.63 points.

Market capitalisation rose to N158.96 trillion, lifting the benchmark’s year-to-date return to 58.14 per cent, from 56.93 per cent in the previous session.

The rebound came on the back of strong buying interest in Aradel Holdings, Nestlé Nigeria and First HoldCo, whose gains outweighed declines in NAHCO, Transcorp and ABC Transport.

Aradel climbed 8.83 per cent, while Nestlé gained 5.83 per cent and First HoldCo rose 1.17 per cent.

On the losing side, NAHCO declined 9.22 per cent, Transcorp fell 1.63 per cent, while ABC Transport dropped 9.52 per cent.

Investor activity also strengthened. Total volume traded increased 7.44 per cent to 651.32 million shares, while transaction value rose 5.35 per cent to N40.77 billion.

AccessCorp dominated volume with 129.89 million shares traded, while MTN Nigeria topped the value chart with transactions worth N4.69 billion.

Market breadth turned decisively positive at 2.05x, with 41 stocks advancing against 20 decliners, indicating broad-based buying rather than a rally concentrated in only a few heavyweight counters.

FTN Cocoa gained the maximum 10 per cent to lead the gainers, while Tripple Gee recorded the largest decline at 9.72 per cent.

The recovery also extended to the NASD over-the-counter market, where the NASD Securities Index gained 2.07 per cent to 4,395.94 points.

NASD market capitalisation increased by the same 2.07 per cent to N2.64 trillion, while its year-to-date return improved sharply to 24.05 per cent from 21.53 per cent.

Trading on the OTC market was mixed. Volume fell 55.02 per cent to 526,020 units, but transaction value increased 7.04 per cent to N55.64 million across 23 trades.

SDI1PLC rose 8.91 per cent to lead the gainers, while SD Food Court fell 0.40 per cent as the session’s only decliner.

The positive domestic equity session coincided with another gain for the naira.

The Nigerian Foreign Exchange Market (NAFEM) appreciated 0.26 per cent to N1,329.43/$, extending the currency’s recent strengthening trend and providing a more supportive macroeconomic backdrop for investors.

Global markets, however, remain exposed to inflation and geopolitical risks.

US manufacturing expanded for an eighth consecutive month in August, although the PMI eased to 54.6 as new orders, employment and imports grew at a slower pace. Price pressures remained elevated at 71.1, while supply-chain disruptions, tariff uncertainty and the Iran war continued to weigh on sentiment.

The oil market also remained highly sensitive to developments around the Strait of Hormuz. Two supertankers carrying Saudi crude were struck in the strategic waterway, raising fresh concerns over supply disruptions at a time when Gulf exports remain constrained.

For Nigerian investors, the immediate market picture has improved significantly. The N1.2 trillion increase in equity value, 58.14 per cent YTD return and 41 advancing stocks point to a broad recovery in sentiment.

The critical question now is whether the rebound can be sustained after the recent market volatility, particularly as investors continue to balance strong domestic equity gains against global geopolitical risks, interest-rate expectations and movements in the naira.