Oct 20th – Oct 25th
Prodigy Group Asset Management
The Nigerian equities market wrapped up the week with a commanding performance, marking its strongest weekly gain in three months. The NGX All-Share Index climbed 4.47% WoW, closing at 155,645.05 points, while market capitalization surged by ₦2.66 trillion to ₦98.79 trillion. This rally was fuelled by strong earnings expectations, sectoral rotation, and renewed investor appetite for fundamentally sound stocks.
Despite the bullish momentum, market breadth declined to 0.87x, suggesting that gains were concentrated in select names. However, trading activity remained robust, with volume and value traded rising by 52.31% and 104.08% respectively — a clear indication of institutional flows and retail enthusiasm.
| Sector | Weekly | YTD |
|---|---|---|
| Industrial | +10.61% | +68.45% |
| Insurance | -1.10% | +77.63% |
| Oil and Gas | +9.13% | +7.09% |
| Consumer Goods | +3.94% | +109.82% |
| Banking | -1.35% | +38.12% |
| NGXASI | 155,645.05 | ↑ +0.75% Daily |
| Market Cap | ₦98.79 trn | ↑ +1.33% |
| Vol Traded | 1,211.63bn | ↑ +30.72% |
| Value Traded | ₦31.48bn | ↑ +16.83% |
The week saw a clear divergence in sectoral performance:
Meanwhile, the Banking sector declined -1.35% WoW, weighed down by ACCESSCORP, GTCO, and ZENITHBANK. The Insurance sector also dipped -1.10% WoW, despite late-week gains in REGALINS and NEM.
The currency market saw a modest appreciation of the Naira, supported by improved FX liquidity and reduced demand pressure. The official rate strengthened by 1.35% WoW, closing at ₦1,457.96/USD, while the parallel market rate eased to ₦1,480/USD, narrowing the premium slightly. The narrowing gap between official and parallel rates suggests that recent policy measures and stronger oil receipts may be helping to stabilize the currency.
Liquidity in the banking system declined slightly this week, likely due to aggressive OMO mop-ups and higher subscription levels at the Treasury Bills auction. Despite this, short-term rates remained relatively stable, with only a marginal dip in the Overnight (O/N) rate. The Open Repo (OPR) rate held steady, suggesting balanced interbank borrowing activity.
| Indicator | Value | Change |
|---|---|---|
| Official FX Rate (NAFEM) | ₦1,457.96/USD | ↑ 1.35% |
| Parallel FX Rate | ₦1,480.00/USD | ↑ 0.67% |
| System Liquidity | ₦1.84 trillion | ↓ 7.60% |
| O/N Rate | 24.83% | ↓ 0.02% |
| OPR Rate | 24.50% | — 0.00% |
The Central Bank of Nigeria (CBN) conducted an Open Market Operation (OMO) auction on Tuesday, October 21, 2025, offering ₦600 billion across two tenors. This auction was part of the CBN's liquidity management strategy and attracted strong institutional interest.
Auction Window: Opened at 10:30 a.m. and closed at 11:00 a.m.
Market Implication: The auction was well-received, with strong demand expected to push stop rates higher. It also helped absorb excess liquidity and guide short-term rates.
| Tenor | Auction Date | Maturity Date | Amount (NGN BN) |
|---|---|---|---|
| 196-Days | October 21, 2025 | May 5, 2026 | 300.00 |
| 252-Days | October 21, 2025 | June 30, 2026 | 300.00 |
This OMO auction complements the week's Treasury Bill auction and reinforces the CBN's commitment to maintaining monetary stability amid inflationary pressures.
Global markets embraced a risk-on tone, buoyed by softer inflation data, strong corporate earnings, and easing geopolitical tensions.
S&P 500 hit record highs, supported by a cooler-than-expected CPI (3.0%) and strong earnings from GM and 3M.
Fed Outlook: Markets now price in two rate cuts by year-end, with the easing cycle potentially extending into 2026.
FTSE 100 closed at a record high, driven by steady inflation (3.8%) and strong earnings from HSBC and Segro.
BoE Outlook: Rate cut likely in December, as inflation moderates and fiscal support looms in the upcoming budget.
China: Q3 GDP +4.80% YoY (vs. 5.20% in Q2), signaling a slowdown amid weak domestic demand.
Retail Sales: +3.00% YoY in September, reflecting cautious consumer sentiment.
Oil prices surged on U.S. sanctions against Russian producers and OPEC+ supply discipline.
Crypto assets rebounded as inflation cooled and the dollar weakened, attracting institutional flows.
| GDP Q2 2025 | 4.23% |
| Inflation (Sept) | 18.02% |
| Monetary Policy Rate | 27.00% |
| FX Reserves (Oct 22) | $42.87 billion |
| Brent Crude | $66.70/barrel |
| Gold | $4,074.90/oz |
| Tenor | This Week | Change |
|---|---|---|
| 1YR | 18.42% | +1.75% |
| 3YR | 16.16% | +0.12% |
| 5YR | 15.96% | +0.38% |
| 7YR | 15.69% | -0.67% |
| 10YR | 16.23% | -4.72% |
| 30YR | 15.40% | 0.00% |
| Avg | 16.31% | +0.46% |
| Tenor | This Week | Change |
|---|---|---|
| 1MTH | 16.24% | +0.00% |
| 3MTH | 16.87% | +0.90% |
| 6MTH | 17.51% | +0.81% |
| 9MTH | 18.07% | -19.83% |
| 12MTH | 18.41% | +0.49% |
| Avg | 17.42% | -4.50% |
| 91-Day | 182-Day | 364-Day | |
|---|---|---|---|
| Auction Date | 22-Oct-2025 | 22-Oct-2025 | 22-Oct-2025 |
| Allotment Date | 23-Oct-2025 | 23-Oct-2025 | 23-Oct-2025 |
| Maturity Date | 22-Jan-2026 | 23-Apr-2026 | 22-Oct-2026 |
| Offer (NGN) | 100,000,000,000 | 100,000,000,000 | 450,000,000,000 |
| Subscription (NGN) | 8,129,718,000 | 68,528,998,000 | 674,247,849,000 |
| Allotment (NGN) | 7,613,718,000 | 67,418,998,000 | 316,556,585,000 |
| Range of Bids (%) | 14.9000-16.5000 | 14.5000-17.0300 | 14.5000-20.0000 |
| Stop Rate (%) | 15.3000 | 15.5000 | 16.1400 |
This report is prepared solely for informational and strategic review purposes. It does not constitute investment advice, financial recommendation, or an offer to buy or sell any securities or financial instruments. All data and analysis are based on publicly available sources believed to be reliable, but no guarantee is made as to their accuracy or completeness. Readers are advised to consult with qualified financial advisors before making any investment decisions.
If you want further advice, contact us at www.prodigygroup.com.ng
17th Floor, Elephant House, 214 Broad street, Marina, Lagos.
@ www.prodigygroup.com.ng, info@prodigygroup.com.ng
+234(091)6762-9178