The Nigerian Exchange (NGX) staged a strong comeback on Tuesday, adding N719 billion to its market capitalisation as renewed investor confidence in major stocks such as FirstHoldCo and MTN Nigeria helped reverse recent losses. The recovery ended a two-day bearish streak and pushed the NGX All-Share Index above the 242,000-point mark, signaling a return of positive sentiment among investors.
At the close of trading, the All-Share Index rose by 1,121.33 points, representing a 0.46 percent gain to settle at 242,870.44 points. Market capitalisation also increased from N155.13 trillion to N155.85 trillion. The rebound came after Monday’s broad market sell-off, with investors selectively returning to large-cap stocks that had previously experienced significant declines.
FirstHoldCo emerged as the star performer of the day, climbing 9.98 percent to close at N72.15. The company dominated trading activity with more than 326 million shares exchanged, valued at N22.33 billion. MTN Nigeria also strengthened the market’s recovery effort, gaining 1.23 percent to close at N820.00, while Stanbic IBTC advanced by 3.8 percent. Other top gainers included Learn Africa, Thomas Wyatt Nigeria, R.T. Briscoe, and Transcorp Hotels, all posting impressive gains.
Sector performance reflected the renewed optimism, with the Banking Index leading the charge after rising 2.28 percent, reversing the previous day’s losses. The Insurance Index also recorded a 0.48 percent increase. However, Consumer Goods and Oil & Gas sectors ended the session slightly lower, declining by 0.97 percent and 0.10 percent respectively. Despite these losses, positive performances across key sectors were enough to keep the broader market firmly in positive territory.
Market analysts noted that the surge in trading value to N53.34 billion, despite a decline in transaction volume, points to increased participation by institutional investors rather than retail traders. Year-to-date returns improved to 56.07 percent, highlighting the market’s resilience amid short-term volatility. Analysts at Cowry Assets Management believe the positive momentum could continue as investors reposition their portfolios, although occasional profit-taking in high-performing stocks may temper the pace of future gains.
source: nairametrics
