The Nigerian Exchange (NGX) experienced a remarkable surge in February 2026, with the All-Share Index (ASI) climbing an impressive 16.60% to close at 192,826.8 points. This significant gain brings the market closer to the 200,000 milestone. This marks the third consecutive month of positive returns since the dip in November 2025 and represents the strongest monthly performance since the 35.28% rally in January 2024.

Throughout February, the market displayed robust upward momentum, closing positively for the first three of the month's four trading weeks. The index even surpassed 194,000 points in the penultimate week before a slight 1.11% decline brought it back to its closing figure. Year-to-date, the market has seen a substantial increase of 23.91%. The trading activity was characterized by over 36 billion shares changing hands, driven by strong buying interest in heavyweight stocks across the industrial, oil and gas, and banking sectors.

In terms of sector-specific performance, the NGX Oil and Gas sector emerged as the top performer, registering a substantial rise of 33.63% to close at 4,060.7 points. Starting the month at 3,038.8 points, this sector experienced a gain of 1,021.9 points with a trading volume exceeding 1.6 billion shares.

Following closely, the NGX Industrial Goods sector climbed 22.20%, breaking the 7,000-point barrier for the first time and concluding the month at 7,314.6 points, with over 559 million shares traded. The broad-based strength of the market was further evidenced by solid performances across other sectors.

The NGX Banking sector was the third-best performer, appreciating by 16.67% to close at 1,892.1 points. This sector saw over 7.6 billion shares change hands. The NGX Consumer Goods sector also posted gains of 6.51%, with more than 1 billion shares traded. Mid-cap stocks led this sector, although Nigerian Breweries (1.46%) was the only heavyweight to record a gain.

The NGX Insurance sector, while still positive, was the weakest performer, with a gain of 2.31% to close at 1,359.9 points. Notable contributors to this sector's performance included Universal Insurance (23.33%), AXA Mansard (15.80%), Lasaco Assurance (15.67%), and Mutual Benefits (13.64%).

The overall market capitalization of the Nigerian Exchange Limited (NGX) surged significantly to N123.763 trillion in February 2026, up from N106.153 trillion in January 2026. This reflects enhanced investor confidence, sustained institutional accumulation, and renewed retail participation. The tone of trade remained optimistic throughout February, supported by liquidity inflows, earnings-driven positioning, and improved sentiment around energy prices.

However, the market experienced a week-on-week decline of N1.4 trillion, with investors losing value due to sustained profit-taking and persistent cautious sentiment. The NGX ASI also saw a week-on-week decline of 1.1% from 194,989.77 points to close at 192,826.78 points on Friday, March 1, 2026. Analysts at InvestData Consulting Limited noted that risks such as inflationary pressures, exchange rate volatility, and global geopolitical uncertainties could introduce intermittent volatility. They advised portfolio managers to adopt a more selective approach, rotating capital into fundamentally sound names while trimming exposure to overheated positions.