NGX Extends Bullish Streak As Heavyweight Stocks Lift Market, Index Gains 1.50% On Buying Momentum

Market Update For October 23, 2025

The Nigerian Exchange (NGX) sustained its bullish momentum midweek, marking its third consecutive session of gains as investors deepened buy positions in blue-chip stocks across key sectors. Wednesday’s performance reflected renewed investor confidence, driven by expectations of stronger corporate earnings, improved macroeconomic sentiment, and renewed portfolio rebalancing toward fundamentally strong companies.

Market activity showed heightened investor participation as the positive sentiment spread across industrial goods, banking, and consumer goods sectors. Blue-chip counters such as Dangote Cement, NASCON Allied Industries, Dangote Sugar, Transcorp Hotels, Aradel Holdings, MTN Nigeria, and Wema Bank were the major movers of the day, collectively sustaining the market’s upward trajectory.

The market opened on a bullish note, supported by strong pre-market bids in large-cap stocks. As trading progressed, institutional investors increased exposure to industrial bellwethers like DANGCEM, BUA Cement, and Lafarge Africa, while retail sentiment strengthened around tier-two banking names such as SterlingNG, Wemabank, and Fidelity Bank. Despite mild profit-taking among mid-tier equities, strong demand outweighed selling pressure, reinforcing market breadth in the green.

Company Performance and Profiles

Thursday’s rally was driven by strong buying in key stocks, lifting the Nigerian Exchange broadly. PZ Cussons Nigeria Plc (PZ) surged 10%, leading the gainers. The company is a leading manufacturer of personal care, home care, and food products in Nigeria. Lafarge Africa Plc (LAFARGE) climbed 8.63%, a major cement producer serving Nigeria’s construction sector. Aradel Plc (ARADEL) gained 3.93%; it specializes in consumer goods distribution and trading. Nascon Allied Industries Plc (NASCON) rose 3.55%, a top manufacturer of salt, seasoning, and food condiments. BUA Cement Plc (BUACEMENT) added 2.91%, a major player in Nigeria’s cement industry.

Wema Bank Plc (WEMABANK) increased 2.51%, offering retail and corporate banking services. Access Holdings Plc (ACCESSCORP) gained 2.04%, a leading financial institution providing banking and financial services. MTN Nigeria Communications Plc (MTNN) rose 2%, Nigeria’s largest telecom provider. Dangote Cement Plc (DANGCEM) added 1.61%, Africa’s largest cement producer. Ellah Lakes Plc (ELLAHLAKES), a food and beverage company, increased 0.78%. Sterling Bank Plc (STERLINGNG) gained 0.63%, focusing on commercial banking services. Ecobank Transnational Inc (ETI) rose 0.56%, a pan-African banking group. Presco Plc (PRESCO), an integrated palm oil producer, was flat at 0.01%.

On the downside, John Holt Plc (JOHNHOLT) led the decliners. In terms of market activity, Japaul Gold & Ventures Plc (JAPAULGOLD) recorded the highest trading volume with 436.05 million units, while Lafarge Africa posted the largest transaction value at N6.98 billion.

Trading Activity and Market Liquidity

Trading turnover remained strong as market activity extended into high-value transactions. Total traded volume rose 6.81% to 589.49 million units, worth ₦24.01 billion, executed in 28,485 deals. Fidelity Bank Plc (FIDELITYBK) topped the volume chart with 94.74 million units, accounting for 16.07% of total transactions, followed by GTCO with 13.48%, and AccessCorp with 10.08%.

In value terms, GTCO retained dominance, contributing ₦7.39 billion, which represented 30.80% of total traded value, followed closely by Fidelity Bank and Zenith Bank, reflecting the sustained liquidity within the banking sector.

Technical Analysis

From a technical standpoint, the NGX remains firmly in bullish territory as the All-Share Index continues to trade above both its 20-day and 50-day moving averages — a strong indication of sustained upward momentum. The index’s Relative Strength Index (RSI) currently stands near 74, suggesting that the market is approaching the overbought region, which could trigger mild pullbacks or sectoral rotation in the short term.

Momentum indicators such as the MACD and Money Flow Index further confirm positive fund inflows, underscoring institutional accumulation in large-cap stocks. If the index maintains its position above the 150,000-point breakout zone, a further rally toward the 155,000–156,500 resistance range remains likely.

Oil Market Influence

In the global commodities market, crude oil prices surged to a two-week high after the United States imposed sanctions on Russian energy giants Rosneft and Lukoil due to the ongoing conflict in Ukraine. The sanctions heightened concerns about supply disruptions from the world’s second-largest crude exporter. Brent crude jumped 4.7% to $65.50 per barrel, while WTI crude rose 4.9% to $61.39, marking their highest closing levels since early October.

The sharp rebound in energy prices also lifted energy-linked equities globally, with Nigerian energy stocks like Aradel Holdings benefiting from renewed bullish sentiment in the oil sector.

Market Performance Summary

At the close of trading on Wednesday, the NGX All-Share Index (ASI) gained 1.50%, rising from 151,456.91 points to 153,736.25 points, its third consecutive day of gains. Investors’ wealth expanded by ₦1.45 trillion, pushing market capitalization to ₦97.58 trillion and boosting the year-to-date (YTD) return to 49.37%.

Market breadth ended positive with 32 gainers and 29 losers. ASOSAVINGS (+9.90%), NASCON (+6.80%), and DANGCEM (+6.50%) led the gainers’ list, while TIP (-9.85%), MULTIVERSE (-5.14%), and CHAMS (-4.60%) topped the losers’ chart.

Outlook:
With the NGX maintaining its bullish breakout and oil prices strengthening, sentiment remains broadly positive. However, investors are advised to approach with caution as short-term profit-taking may occur. Market direction will likely remain influenced by earnings expectations, macroeconomic indicators, and liquidity flows, with the index poised to test the 155,000-point resistance level in the near term if buying pressure persists.