The Nigerian equities market rebounded strongly in September, gaining N5.365 trillion in market capitalisation after recording a N587 billion loss in August.
Market capitalisation rose by 3.40 per cent from N157.739 trillion at the start of September to N163.104 trillion at the end of the month.
Similarly, the All-Share Index (ASI) increased by 7,012.28 points, or 2.87 per cent, from 244,199.39 points to 251,211.67 points.
The market recorded gains in 16 of the 22 trading sessions during the month, while six sessions closed lower.
Trading activity was mixed, with the volume of shares traded falling by 33.24 per cent, while the value of transactions increased by 43.01 per cent.
A total of 17.936 billion shares worth N907.841 billion were traded in 1,117,428 transactions, compared with 26.867 billion shares worth N634.801 billion in 899,053 deals in August.
The September recovery was attributed to improved macroeconomic conditions, Nigeria’s restoration to FTSE Russell Frontier Market status and renewed investor confidence.
Among the notable gainers were Seplat Energy, First HoldCo, Zenith Bank, Nestlé Nigeria, Wema Bank, MTN Nigeria and Dangote Cement.
However, United Bank for Africa (UBA), Access Holdings, International Breweries, Cadbury Nigeria, Guaranty Trust Holding Company (GTCO) and Sterling Financial Holdings recorded declines.
Commenting on the performance, Mr David Adonri, Vice President of Highcap Securities Ltd., attributed the rally to foreign exchange stability, moderating inflation, lower benchmark interest rates and renewed investor confidence.
Adonri said the market had also recovered from pressure in August, when investors repositioned funds for the Dangote Refinery and Petrochemicals IPO.
He said Nigeria’s restoration to FTSE Russell Frontier Market status also supported the market.
“The massive reduction in benchmark interest rates coupled with moderating inflation and a strengthening naira, created an environment that enabled financial assets to move into equities.
“The market rally pushed the year-to-date return above 60 per cent, while the All-Share Index crossed the 250,000-point level during the month,” he said.
Looking ahead, Adonri said increased portfolio positioning ahead of full-year corporate distributions could support the market, particularly financial stocks.
He also identified the planned Dangote Refinery IPO and eventual listing on the Nigerian Exchange as developments that could deepen the capital market.
Adonri expressed optimism about the market’s performance toward the end of 2026 and into 2027, citing improved macroeconomic conditions, new listings and increased investor participation.
