NGX Gains N390.3bn as Banking Stocks Boost Confidence

On Wednesday, the Nigerian Exchange (NGX) added N390.3 billion, driven by renewed demand for banking stocks, which offset profit-taking in select counters. The benchmark NGX share index closed at 242,366.75 points, with a year-to-date return of 55.8 percent, indicating sustained confidence in the domestic equity market amid expectations of stronger corporate earnings.

The total market capitalization rose to N156.24 trillion. Key banking stocks performed well, with First Bank Holding Company Plc gaining 10.0 percent, Transnational Corporation Plc rising 6.2 percent, and Stanbic IBTC Holdings Plc advancing 2.4 percent.

Despite a mixed sector performance, the banking index emerged as the best-performing sector with a 2.2 percent gain. However, total trade volume fell by 25 percent, and the value of transactions dropped by 44 percent, indicating cautious investor sentiment following recent rallies.

Analysts expect the market to remain broadly positive, supported by strategic portfolio rebalancing and anticipated stronger corporate earnings.