Market Overview- Monday, August 11, 2025
The Nigerian equities market started the week on a cautiously positive note. The NGX All Share Index (ASI) rose by 0.13%, closing at 145,754.91 points. On a year-to-date basis, the index has gained 41.45%, showing strong performance for 2025 so far.
Investor participation was particularly high, with total trading volume reaching 2.04 billion shares. Market turnover spiked by a massive 475.98% to ₦18.41 billion. This was largely due to huge block trades, especially in the insurance sector.
Despite these strong headline figures, market breadth was almost neutral — 44 stocks gained while 45 stocks declined — indicating that overall investor sentiment was still mixed.
Key Drivers of the Day
• AIICO Insurance was the day’s strongest performer, climbing 10% to close at ₦3.85, supported by extremely high volumes and strong institutional buying.
• On the downside, the LOTUSHAL15 ETF was the biggest loser, dropping 10%, likely due to profit-taking after previous gains.
• Insurance stocks dominated market activity with extraordinary trading volumes:
• LINKASSURE traded 703.59 million shares (a 2,341% increase from its average volume).
• UNIVINSURE saw 230.54 million shares traded (+699%).
• AIICO traded 154.73 million shares (+494%).
• VERITASKAP recorded 74.56 million shares (+343%).
These spikes suggest intense speculative interest and possible short-term overheating in the sector.
Sector Performance
• Insurance was the clear winner, with AIICO, UNIVINSURE, and VERITASKAP all gaining the maximum 10% daily limit. All three now have extremely high Relative Strength Index (RSI) levels, signalling that they may be overbought in the short term.
• Banking stocks had mixed results. Fidelity Bank managed a slight gain and maintained bullish momentum, while Zenith Bank fell below its 15-day moving average, indicating weakness and possible sector rotation.
• Building materials and real estate sectors showed bearish trends, with notable losses in WAPCO and Haldane McCall.
• Telecoms remained largely flat, with MTNN unchanged on the day.
⚠️ Technical and Momentum Signals
• Several stocks, such as AIICO, STANBIC, and VERITASKAP, have RSI values above 80, which is typically seen as overbought territory. This raises the likelihood of short-term pullbacks.
• Some blue-chip names — including Zenith Bank, Nigerian Breweries, WAPCO, and Oando — have moved below their 15-day moving averages. This could be a sign of institutional selling or profit-taking.
• Certain ETFs like Greenwich Asset ETF (GREENWETF) fell sharply despite having a high RSI, suggesting possible profit-taking after extended rallies.
Institutional vs Retail Activity
Institutions dominated the market, accounting for over 80% of total trade volume and value. Their main picks included Zenith Bank, UBA, AccessCorp, AIICO, and Ellah Lakes. However, even with this heavy institutional involvement, Zenith Bank’s technical signals turned bearish.
Retail investors focused on large-cap banking and telecom stocks, as well as AIICO. Interestingly, AIICO attracted both strong institutional and retail demand, cementing its position as the market leader for the day.
Special Observations
• The insurance sector’s dominance in both daily and year-to-date gainers is significant, but the extremely high RSI readings indicate an elevated risk of near-term corrections.
• Some stocks like UACN are notable because they are among the day’s top losers despite having had strong momentum earlier in the year, which could mean a change in leadership within the market.
• AIICO’s rally is backed by high-volume institutional trades, which gives the move credibility but also raises the risk of a “blow-off top” if profit-taking begins.
Actionable Insights
• For short-term traders: Be cautious with overheated insurance stocks, as volatility could spike if profit-taking starts.
• For dividend/income-focused investors: Consider low-beta, yield-paying stocks like Africa Prudential and Fidelity Bank, which also have bullish momentum.
• For contrarian investors: Watch laggards such as Zenith Bank, Nigerian Breweries, and WAPCO for potential rebounds once selling pressure eases.
• Avoid chasing stocks that have already run up sharply on huge volumes — waiting for consolidation could offer safer entry points.
The Nigerian equities market started the week on a cautiously positive note. The NGX All Share Index (ASI) rose by 0.13%, closing at 145,754.91 points. On a year-to-date basis, the index has gained 41.45%, showing strong performance for 2025 so far.
Investor participation was particularly high, with total trading volume reaching 2.04 billion shares. Market turnover spiked by a massive 475.98% to ₦18.41 billion. This was largely due to huge block trades, especially in the insurance sector.
Despite these strong headline figures, market breadth was almost neutral — 44 stocks gained while 45 stocks declined — indicating that overall investor sentiment was still mixed.
Key Drivers of the Day
• AIICO Insurance was the day’s strongest performer, climbing 10% to close at ₦3.85, supported by extremely high volumes and strong institutional buying.
• On the downside, the LOTUSHAL15 ETF was the biggest loser, dropping 10%, likely due to profit-taking after previous gains.
• Insurance stocks dominated market activity with extraordinary trading volumes:
• LINKASSURE traded 703.59 million shares (a 2,341% increase from its average volume).
• UNIVINSURE saw 230.54 million shares traded (+699%).
• AIICO traded 154.73 million shares (+494%).
• VERITASKAP recorded 74.56 million shares (+343%).
These spikes suggest intense speculative interest and possible short-term overheating in the sector.
Sector Performance
• Insurance was the clear winner, with AIICO, UNIVINSURE, and VERITASKAP all gaining the maximum 10% daily limit. All three now have extremely high Relative Strength Index (RSI) levels, signalling that they may be overbought in the short term.
• Banking stocks had mixed results. Fidelity Bank managed a slight gain and maintained bullish momentum, while Zenith Bank fell below its 15-day moving average, indicating weakness and possible sector rotation.
• Building materials and real estate sectors showed bearish trends, with notable losses in WAPCO and Haldane McCall.
• Telecoms remained largely flat, with MTNN unchanged on the day.
⚠️ Technical and Momentum Signals
• Several stocks, such as AIICO, STANBIC, and VERITASKAP, have RSI values above 80, which is typically seen as overbought territory. This raises the likelihood of short-term pullbacks.
• Some blue-chip names — including Zenith Bank, Nigerian Breweries, WAPCO, and Oando — have moved below their 15-day moving averages. This could be a sign of institutional selling or profit-taking.
• Certain ETFs like Greenwich Asset ETF (GREENWETF) fell sharply despite having a high RSI, suggesting possible profit-taking after extended rallies.
Institutional vs Retail Activity
Institutions dominated the market, accounting for over 80% of total trade volume and value. Their main picks included Zenith Bank, UBA, AccessCorp, AIICO, and Ellah Lakes. However, even with this heavy institutional involvement, Zenith Bank’s technical signals turned bearish.
Retail investors focused on large-cap banking and telecom stocks, as well as AIICO. Interestingly, AIICO attracted both strong institutional and retail demand, cementing its position as the market leader for the day.
Special Observations
• The insurance sector’s dominance in both daily and year-to-date gainers is significant, but the extremely high RSI readings indicate an elevated risk of near-term corrections.
• Some stocks like UACN are notable because they are among the day’s top losers despite having had strong momentum earlier in the year, which could mean a change in leadership within the market.
• AIICO’s rally is backed by high-volume institutional trades, which gives the move credibility but also raises the risk of a “blow-off top” if profit-taking begins.
Actionable Insights
• For short-term traders: Be cautious with overheated insurance stocks, as volatility could spike if profit-taking starts.
• For dividend/income-focused investors: Consider low-beta, yield-paying stocks like Africa Prudential and Fidelity Bank, which also have bullish momentum.
• For contrarian investors: Watch laggards such as Zenith Bank, Nigerian Breweries, and WAPCO for potential rebounds once selling pressure eases.
• Avoid chasing stocks that have already run up sharply on huge volumes — waiting for consolidation could offer safer entry points.