Market Update For August 24, 2026
The Nigerian Exchange (NGX) extended its recent decline on Monday as investors adopted a cautious stance ahead of Tuesday’s Eid-ul-Maulud public holiday declared by the Nigerian government for Muslim adherents to celebrate the birthday of Prophet Muhammed (PBUH). The shortened trading week encouraged profit-taking and portfolio adjustments, particularly in selected large-cap stocks, keeping the broader market under pressure.
The session reflected a market still struggling to regain upward momentum after its recent correction. Although trading activity improved, the stronger turnover did not translate into a broad recovery, as selling pressure remained dominant across several key counters.
Investors appeared reluctant to take aggressive positions ahead of the holiday break, with attention shifting towards locking in gains and repositioning portfolios. The weakness in major stocks was particularly significant because of their influence on the benchmark index.
The bearish tone was driven largely by declines across several heavyweight stocks. TIP fell 3.75%, DANGSUGAR declined 2.79%, while IKEJAHOTEL shed 2.33%. FIRSTHOLDCO, UBA and WEMABANK also recorded notable losses of 1.58%, 1.44% and 1.20%, respectively, while OANDO declined 0.43%.
The performance of these stocks highlights the continued profit-taking pressure in parts of the market. Investors who accumulated positions during the earlier rally appear to be taking advantage of elevated prices to secure gains, particularly as the NGX remains significantly higher on a year-to-date basis.
Despite the broad weakness, buying interest was visible in selected counters. SUNUASSUR recorded the strongest gain of the session, while UPL also posted a significant advance. HMCALL, AFRIPRUD and ACCESSCORP equally closed higher.
However, the gains were not sufficient to offset the wider decline, leaving the market with a negative breadth and reinforcing the current cautious sentiment.
Market activity improved during Monday’s session, with investors exchanging 627.27 million shares in 44,608 deals.
FTGINSURE remained the most actively traded stock by volume, accounting for 205.49 million shares. Its heavy turnover indicates strong investor interest in the counter and contributed significantly to overall market activity.
FIRSTHOLDCO led the market by value, while UBA and MTNN also featured prominently among the most actively traded stocks by value.
The combination of stronger turnover and a weaker index suggests that the market is currently experiencing active repositioning rather than a complete withdrawal of investors. The direction of these flows in the sessions following the holiday will be important in determining whether the current correction deepens or begins to stabilise.
Weakness was also evident in several stocks that recorded fresh 52-week lows during the session.
WAPIC fell below its previous 52-week low to ₦2.00, while GUINEAINS and ELLAHLAKES touched new lows of ₦0.72 and ₦8.10, respectively.
Fresh lows are an important market signal because they indicate that selling pressure is becoming more pronounced in individual counters. While the overall NGX remains significantly higher year-to-date, the performance of individual stocks has become increasingly uneven.
This divergence means investors are likely to place greater emphasis on company-specific fundamentals, earnings expectations and valuation rather than relying solely on the broader market trend.
Technical Analysis
From a technical perspective, the NGX ASI remains in a short-term corrective trend. Monday’s decline kept the index below the important 240,000-point psychological level, which could now serve as immediate resistance.
The 239,000-point area remains a key near-term support zone. A sustained break below this level could expose the index to additional losses and reinforce the current bearish momentum.
On the upside, a recovery above 240,000 points would provide an initial indication that buying interest is returning. However, a stronger bullish reversal would require improved market breadth and renewed accumulation in major-cap stocks.
The negative breadth remains a concern. With 33 decliners against 18 gainers, selling pressure continues to outweigh buying interest across the market. If this trend persists, the ASI could remain under pressure even if selected stocks continue to record strong gains.
Outlook
The immediate outlook for the NGX remains cautious as investors prepare for the Eid-ul-Mawlid holiday. With the market closed on Tuesday, trading activity could remain measured when the exchange resumes, as investors reassess market conditions and fresh corporate and macroeconomic developments.
The next sessions will be important for determining whether the current decline represents a temporary correction or the beginning of a deeper pullback. A rebound around the 239,000-point region could attract bargain hunters, particularly in stocks with strong fundamentals and attractive valuations.
However, continued weakness below this support level could encourage further profit-taking and push the index towards lower technical levels.
Large-cap banking stocks will remain particularly important to the market’s direction because of their significant weighting on the ASI. Renewed buying in these counters could help stabilise the index, while continued declines could extend the broader market correction.
Investors are also likely to remain selective, favouring companies with stronger earnings prospects, healthy balance sheets and attractive valuations. This could result in continued divergence between individual stocks even if the broader index remains weak.
Oil Market
Developments in the global oil market will also remain important for Nigerian investors. Crude prices declined on Monday as investors took profits following two consecutive weeks of gains and awaited details of possible new U.S. sanctions on Iran.
Brent crude futures fell $1.01, or 1.1%, to $93.38 per barrel, while U.S. West Texas Intermediate crude declined $1.42, or 1.6%, to $85.64 per barrel.
Both benchmarks gained more than 5% last week as geopolitical tensions and concerns over disruptions to crude shipments through the Strait of Hormuz provided support to prices.
The market is now watching developments around potential U.S. sanctions on Iran and their possible impact on global oil supply. Further restrictions on Iranian exports or heightened tensions around the Strait of Hormuz could tighten supply expectations and provide renewed support for crude prices.
For Nigeria, higher oil prices remain broadly positive because crude exports are central to government revenues and foreign-exchange inflows. Sustained strength in the oil market could therefore provide some support to the naira, fiscal revenues and investor sentiment.
However, a sharp increase in oil prices driven by geopolitical disruptions could also create inflationary pressure globally and increase uncertainty across financial markets. Investors will therefore continue to monitor both the direction of crude prices and the broader geopolitical environment.
Market Summary
The Nigerian Exchange (NGX) All-Share Index (ASI) declined 0.12% to 239,054.98 points, while market capitalisation fell by ₦156.61 billion to ₦154.38 trillion. The market’s performance eased to a 53.64% YTD gain, while total turnover stood at 627.27 million shares valued at ₦21.79 billion across 44,608 deals. Market breadth was negative, with 18 gainers against 33 losers. FTGINSURE was the most traded stock by volume, while FIRSTHOLDCO led by value. The top gainers were SUNUASSUR (+10.00%) to ₦3.30, UPL (+9.38%) to ₦5.25, HMCALL (+3.90%) to ₦4.00, AFRIPRUD (+2.65%) to ₦11.60 and ACCESSCORP (+1.85%) to ₦27.50. The top losers were INTENEGINS (-9.82%) to ₦3.49, NEIMETH (-9.38%) to ₦7.25, HONYFLOUR (-8.00%) to ₦16.10, VFDGROUP (-7.08%) to ₦11.15 and GUINEAINS (-6.49%) to ₦0.72 per share.
