NGX Maintains Upward Trajectory, Crosses 151,000bps As Investors Gain ₦962bn In Blue-Chip Rally
The Nigerian Exchange (NGX) sustained its impressive bullish momentum on Tuesday, extending its record-breaking rally as investors continued to accumulate positions in fundamentally strong and high-cap stocks. The market’s benchmark index, the NGX All-Share Index (ASI), surged past the 150,000-point psychological threshold for the first time, underscoring sustained investor confidence and the resilience of the equities market despite persistent macroeconomic headwinds.
The bullish performance reflects renewed investor appetite for equities driven by expectations of strong third-quarter earnings, improved dividend outlooks, and continued capital inflows from institutional and retail investors. Market participants have been taking advantage of the relative stability in the foreign exchange market and declining fixed-income yields to rebalance portfolios in favor of stocks with robust fundamentals and consistent profitability. Analysts at Investdata attribute the strong momentum to portfolio reallocation by fund managers, increased foreign investor activity, and a favorable liquidity environment in the domestic market.
Market activity remained upbeat as total trading volume and value expanded significantly. The total volume of shares traded rose by 32.88% to 551.92 million units valued at ₦20.54 billion across 27,518 deals. The day’s performance reflected heightened investor participation, with FIDELITYBK leading activity by volume as 59.12 million shares exchanged hands, representing 10.71% of the total market volume. VFDGROUP and JAPAULGOLD followed with 7.12% and 6.84% respectively. On the value chart, GTCO maintained leadership with trades worth ₦2.92 billion, accounting for 14.21% of total value traded. DANGCEM and ARADEL also contributed significantly to value turnover, supported by strong institutional demand.
From a technical standpoint, the NGX remains deeply entrenched in bullish territory. The index continues to trade comfortably above its 20-day and 50-day moving averages, signaling a sustained uptrend and confirming the market’s strength. The Relative Strength Index (RSI), currently hovering around 73 points, suggests that the market is mildly overbought and may experience short-term corrections due to profit-taking. However, the overall momentum remains positive, with the Moving Average Convergence Divergence (MACD) showing a continued bullish crossover. The Money Flow Index (MFI) indicates robust inflows of smart money into equities, suggesting institutional confidence in the market’s long-term trajectory.
Investors continue to favor the industrial goods, financial services, and consumer goods sectors as they look for companies with strong earnings power, dividend consistency, and stable balance sheets. Analysts expect the market to witness further rotational plays in the coming sessions as investors book profits in overbought stocks and re-enter undervalued counters with solid growth prospects.
In the global commodities market, oil prices steadied after a volatile start to the week. Brent crude rose by 0.11% to $61.08 per barrel, while U.S. West Texas Intermediate (WTI) increased by 0.24% to $57.66 per barrel as traders weighed easing oversupply fears against demand uncertainty amid ongoing U.S.–China trade tensions. The slight rebound in oil prices is expected to provide mild support for Nigeria’s energy-linked equities such as ARADEL and SEPLAT, which often benefit from crude price recovery.
At the close of Tuesday’s trading, the NGX All-Share Index advanced by 1.01%, adding 1,516.10 points to settle at 151,456.91 points from 149,940.81 points recorded in the previous session, setting a new all-time high. Market capitalization increased by ₦962.31 billion to ₦96.13 trillion, while the year-to-date return improved to 47.15%.
The day’s rally was driven primarily by price appreciation in blue-chip and mid-tier stocks, led by BUAFOODS, VITAFOAM, ARADEL, FIRSTHOLDCO, and OANDO. BUAFOODS, one of Nigeria’s largest consumer goods producers and a dominant player in the food processing industry, advanced by 6.54%, rising from ₦361.80 to ₦385.50. The stock’s performance reflects investor optimism in its strong earnings profile, efficient distribution network, and sustained revenue growth amid high consumer demand. VITAFOAM Nigeria Plc gained 5.92%, closing at ₦29.60 from ₦27.95. The company’s steady profitability, expansion into export markets, and strong dividend record continue to attract both institutional and retail investors.
ARADEL Holdings Plc, a leading integrated energy company, appreciated by 4.94%, climbing to ₦1,895.00 from ₦1,805.00. The upward movement in its share price reflects investor confidence in its strategic diversification into upstream operations and its consistent track record of profitability. FIRSTHOLDCO Plc, the parent company of First Bank of Nigeria, gained 4.46%, closing at ₦34.15 from ₦32.70. The rise in its share price was influenced by renewed investor confidence in its asset quality improvement, expanding digital footprint, and growing profitability. OANDO Plc also advanced by 3.33%, closing at ₦12.09 from ₦11.70 as improving global oil prices boosted sentiment toward energy stocks.
Meanwhile, the market witnessed mild sell pressure in some small- and mid-cap counters as traders took profits following recent gains. LIVINGTRUST Mortgage Bank Plc emerged as the worst performer of the day, declining by 6.36% to ₦3.68 from ₦3.93. The drop was largely due to profit-taking after a strong rally in previous sessions. SCOA Nigeria Plc followed with a 5.42% loss, closing at ₦1.05 from ₦1.11, reflecting renewed selling pressure after brief price appreciation last week. Other laggards included CHAMPION Breweries, NEIMETH International Pharmaceuticals, and NEM Insurance, all of which declined on moderate profit-taking.
Despite the overall bullish close, market breadth ended negative with 26 gainers and 30 losers, indicating that profit-taking remained selective even as the index climbed to a new high. The persistence of strong demand for high-cap stocks, however, kept the market in positive territory.
The impressive performance of the NGX so far in October underscores its resilience amid economic uncertainty. Analysts believe the bullish sentiment will likely persist in the near term, supported by strong corporate fundamentals, rising dividend expectations, and portfolio rebalancing ahead of year-end. Nonetheless, intermittent pullbacks are expected as investors take profits from recent highs before repositioning for the next rally.
As the NGX enters midweek trading, focus is expected to remain on large-cap stocks, particularly in the banking, industrial, and consumer goods sectors. Short-term investors are advised to monitor price reactions around the 151,000-point mark, while medium- to long-term investors should continue to accumulate quality stocks with solid earnings potential and consistent dividend history. The outlook remains cautiously optimistic as the market consolidates its gains and prepares for another potential breakout toward the 153,000–155,000-point region.
