Market Update For February 27, 2026
The Nigerian equities market ended the trading week on a soft note, as sustained profit-taking in heavyweight stocks dragged the benchmark index lower. The negative close reflects a continuation of the corrective trend seen in recent sessions, with investors trimming positions in bellwether names following an extended rally that had pushed year-to-date returns to elevated levels.
Selling pressure was largely concentrated in large-cap industrial and financial stocks, reinforcing the cautious mood across the Exchange. Market participants appear to be rebalancing portfolios, rotating out of overbought counters while selectively accumulating fundamentally sound mid-cap names. Despite the decline in the headline index, the positive market breadth suggests underlying resilience and selective demand beneath the surface.
Sectoral performance was mixed, but weakness in cement, consumer goods and select banking counters overshadowed gains recorded elsewhere. The absence of fresh domestic catalysts, combined with valuation-driven profit-taking, contributed to subdued investor sentiment. Liquidity conditions also reflected a mild slowdown, signaling reduced aggressive positioning ahead of potential macroeconomic triggers and earnings updates.
Overall, the market continues to consolidate within a broad upward channel, indicating that the current pullback may be technical rather than structural.
Global Oil Market Update
Oil prices rallied sharply by approximately 3% as geopolitical tensions surrounding U.S.–Iran nuclear negotiations heightened concerns over possible supply disruptions. The international benchmark Brent crude climbed to $72.84 per barrel, while West Texas Intermediate (WTI) advanced to $67.54. Both crude benchmarks are trading at multi-month highs and are on course to post modest weekly gains.
The rally was driven by uncertainty surrounding diplomatic talks and fears of potential escalation. Although mediators signaled some progress and further discussions are scheduled, traders remain cautious given the sensitivity of Middle East supply flows.
Meanwhile, OPEC+ is expected to deliberate a modest output increase of about 137,000 barrels per day at its upcoming policy meeting. In addition, Saudi Arabia is reportedly considering raising April crude prices to Asia, supported by stronger demand from India as refiners adjust sourcing patterns. For Nigeria, sustained higher oil prices could support fiscal buffers, foreign reserves and broader macro stability, though volatility remains a key risk factor.
Technical Analysis & Market Outlook
From a technical perspective, the NGX All-Share Index (ASI) remains above the critical psychological and support threshold of 190,000 points. This level continues to serve as a strong demand zone, preserving the broader bullish structure despite the short-term pullback.
Momentum indicators, however, are showing signs of moderation, suggesting consolidation may persist in the near term. Declining transaction volume indicates reduced conviction among sellers, which may limit downside risk if buyers step in around support levels.
Should the index maintain a firm hold above 190,000 points, renewed accumulation could push the market toward the 195,000–197,000 resistance range. Conversely, a decisive breakdown below support may expose the index to further correction toward the 188,500–189,000 region.
Investors are encouraged to adopt a value-driven strategy, focusing on stocks with strong earnings visibility, dividend appeal and sound fundamentals. Sector rotation, particularly into energy and high-quality financial names, may shape trading direction in the sessions ahead.
The NGX All-Share Index declined by 0.38%, shedding 741.03 points to close at 192,826.78 from 193,567.81 in the previous session. Market capitalisation fell by N475.62bn to settle at N123.76trn, while year-to-date return eased to 23.91%. Total volume traded dropped 5.15% to 823.83 million units valued at N34.75bn across 63,759 deals. Market breadth closed positive at 39 gainers versus 25 decliners, translating to a 1.56x breadth ratio.
Top gainers were led by SOVRENINS, which advanced by +10.00%, alongside other advancing stocks that posted notable price appreciation. On the flip side, MECURE declined by -9.97% to lead the losers’ chart. Other significant laggards included DANGCEM (-6.09%), ETRANZACT (-4.52%), UACN (-4.00%), ARADEL (-0.91%), TRANSCORP (-0.88%), HONYFLOUR (-0.87%), FIRSTHOLDCO (-0.09%) and GTCO (-0.09%), reflecting broad-based profit-taking in key market movers.
