The Nigerian Exchange (NGX) gained 2.86% last week as a sharp rally in Dangote Cement Plc lifted industrial stocks and helped push the broader equities market higher.
The NGX All-Share Index rose by 7,077.22 points from 247,222.27 points to 254,299.49 points during the week ended October 30, while market capitalisation closed at N165.114 trillion.
Industrial stocks substantially outperformed the broader market with the NGX Industrial Goods Index surging 14.58% from 10,646.68 points to 12,199.20 points.
The sector’s strong performance coincided with a 27.81% rally in Dangote Cement, the biggest gainer on the NGX during the week.
Dangote Cement advanced by N309 per share from N1,111 to N1,420, extending the rally that started at the beginning of the week.
However, the broader market performance was mixed despite the 2.86% increase in the benchmark index.
The NGX Banking Index declined 3.42%, while the Insurance Index fell 2.13%. The Consumer Goods Index slipped 0.02%, the Main Board Index declined 0.11% and the Growth Index lost 1.02%.
In contrast, the NGX Premium Index gained 7.21%, the NGX 30 Index advanced 3.03%, while the Oil and Gas Index increased 0.82%.
The divergence was also reflected in market breadth.
Thirty-three equities appreciated during the week, compared with 20 in the previous week, while 48 stocks declined, down from 55 a week earlier. Another 65 equities finished unchanged.
The number of declining stocks therefore remained higher than gainers despite the 2.86% increase in the All-Share Index, indicating that the week’s advance was not evenly distributed across listed equities.
Trading activity, however, increased substantially.
Investors traded 7.619 billion shares worth N637.826 billion in 192,138 deals, compared with 2.024 billion shares valued at N110.773 billion in 173,113 deals in the preceding week.
Financial Services accounted for 91.75% of total equity turnover volume and 89.91% of value, even as the Banking Index declined during the period.
The combination of a 14.58% surge in industrial stocks, Dangote Cement’s 27.81% rally and weakness across several other sectors showed that selected large-cap stocks played an important role in the NGX’s overall advance last week.