The Nigerian equities market kicked off the year 2026 with strong performance, as the Nigerian Exchange (NGX) closed January with a 6.27% gain, driven by broad-based sector gains and notable leadership from the Oil & Gas sector.
The rally marks one of the strongest January performances in recent years, reflecting renewed investor confidence in the nation’s stock market.
Nairametrics Market OverviewJanuary’s trading session saw the NGX All-Share Index (ASI) climb from 155,612.9 points at the start of the month to 165,370.4 points, adding 9,757.5 points overall and decisively breaking above the 160,000-point barrier for the first time. More than 15 billion shares were exchanged during the month, underscoring heightened market activity.
Momentum was particularly strong during the first three weeks of January, when the ASI briefly surpassed 166,000 points before a mild pullback in the final fortnight slightly trimmed gains.
Despite this moderation, the month ended on a positive note with broad participation across the market.
Oil & Gas Leads Sector PerformanceThe Oil & Gas sector emerged as the standout performer in January, contributing the most to the market’s overall gains.
Tracked by the NGX Oil & Gas Index, the sector advanced by 13.80% during the month, supported by over 491 million shares traded in the segment.
Key contributors to the sector’s performance included:Aradel Plc up 16.45%Seplat Energy Plc — up 15.34%Eterna Plc — up 8.25%Japaul Gold & Ventures Plc — up 5.63%Oando Plc — up 0.75%
These strong moves reflect both investor appetite for energy-linked equities and optimism around oil sector fundamentals as global commodity markets show resilience.
Other Sector PerformancesWhile Oil & Gas led the charge, other key sectors also contributed to January’s market rally:Insurance Sector: The NGX Insurance Index rose 11.76%, extending bullish momentum from late 2025. Top performers included Veritas Kapital (+43.27%), Mutual Benefits Assurance (+34.84%), NEM Insurance (+19.40%), AXA Mansard (+15.99%), and Consolidated Hallmark (+15.90%). �NairametricsBanking Sector: The NGX Banking Index climbed 6.99% on a volume exceeding 3 billion shares traded. Major bank stocks that posted notable gains included Zenith Bank (+15.61%), GTCO (+9.15%), Access Holdings (+7.62%), United Bank for Africa (+6.36%), Wema Bank (+14.71%), Ecobank (+14.56%), and Stanbic IBTC (+8.00%). �NairametricsIndustrial Goods: The index rose 5.45%, bolstered by large-cap players such as Lafarge Africa (+16.73%), Dangote Cement (+4.27%), and BUA Cement (+2.52%), alongside mid and small caps outpacing larger peers.
Consumer Goods: The sector recorded a 3.21% gain, driven in part by mid and small caps like McNichols (+94.19%), Champion Breweries (+28.57%), PZ Cussons (+26.27%), and Vitafoam (+22.28%), with major large cap stocks also supporting the uptick.
What This Means for InvestorsAnalysts say the 6.27% return in January 2026 represents a stronger start than the 1.53% gain recorded in January 2025, highlighting an upswing in market sentiment that could signal continued bullishness in the months ahead.
The broad-based nature of the gains — spanning Oil & Gas, Banking, Insurance, Industrial, and Consumer sectors — suggests that investors are finding opportunities across both large-cap and mid/small-cap stocks.
However, with the All-Share Index settling above 165,000 points for the first time, some market watchers caution that the market may be entering overbought territory, which could lead to profit-taking and pullbacks in heavyweights in the near term.
TakeawaysNGX All-Share Index up 6.27% in January 2026.
Oil & Gas sector leads gains with 13.80% return.
Broad sector participation signals renewed investor confidence.
The market’s technical positioning points to potential volatility ahead.
Image Credit: Nairametrics
Source : Nairametrics
