The Nigerian stock market rebounded strongly last week, with investors gaining N295 billion following two weeks of losses. The All-Share Index rose by 0.50% to 97,722.28 points, buoyed by buying interest in Flour Mills, Oando, and Guaranty Trust Holding Company Plc. Market capitalization also climbed by 0.50% to N59.22 trillion, driven by optimism from Q3 earnings and the undervalued potential of many stocks.
While the All-Share Index’s year-to-date performance stood at 30.69%, caution remained among investors, with more decliners (45) than gainers (39) recorded. The Financial Services sector dominated trading activities, contributing 72% of the total equity turnover volume. The oil and Gas and Consumer Goods sectors followed closely, reflecting strong investor sentiment in Flour Mills, UBA, and GTCO stocks.
The sectoral performance showed mixed results, with NGX-Insurance, NGX-Banking, and NGX-Consumer Goods indices leading gains, while NGX-Oil & Gas and NGX-Industrial recorded marginal losses. Analysts predict continued market volatility influenced by inflation data and naira fluctuations, highlighting opportunities in undervalued stocks for strategic investors.
