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Nigerian Exchange Experiences First Weekly Setback of 2026
For the week ending January 23, 2026, the Nigerian Exchange (NGX) witnessed its initial weekly drop of the year, with the All-Share Index (ASI) retreating by 617.32 points to settle at 165,512.18. This 0.37% decrease marked the conclusion of a robust seven-week upward trend that had been ongoing since early December 2025.
Market Capitalization and Trading Volume Reflect the Decline
Corresponding with the index’s dip, the market capitalization contracted by 0.37%, closing at approximately ₦105.9 trillion. This contraction signals a slight cooling in investor enthusiasm after a sustained period of growth.
Trading activity also mirrored this downturn, with total shares traded falling to 3.7 billion from the previous week’s 4.6 billion. The number of transactions recorded stood at 237,179, indicating a reduction in market participation compared to the prior week.
Contextualizing the Market Movement
Such a pullback after a prolonged rally is not uncommon in equity markets, often serving as a healthy correction. For instance, similar patterns were observed in the Nigerian Exchange during the first quarter of 2024, when a brief pause followed a strong rally driven by increased foreign investment.
As of early 2026, global economic uncertainties, including fluctuating commodity prices and geopolitical tensions, have contributed to cautious investor sentiment, which may have influenced the recent market behavior.
Looking Ahead: Market Outlook and Investor Considerations
Despite this short-term decline, analysts remain optimistic about the NGX’s medium to long-term prospects, citing Nigeria’s ongoing economic reforms and infrastructure projects as key growth drivers. Investors are advised to monitor upcoming corporate earnings reports and macroeconomic indicators, which could provide clearer signals for market direction.
