STOCK MARKET REVIEW

The Ghana Stock Exchange closed higher for the week on the back of price increases by 3 counters. The GSE Composite Index (GSE-CI) gained 158.29 points (+5.64%) to close the week at 2,808.03 points, reflecting a year-to-date (YTD) gain of 21.38%. The GSE Financial Stocks Index (GSE-FI) lost 2.56 points (-0.21%) to close the week at 1,688.33 points, reflecting a YTD loss of 17.75%.

Market capitalization increased by 2.45% to close the week at GH¢71,959.69 million, from GH¢70,238.82 million at the close of the previous week. This reflects a YTD gain of 11.55%.

The week recorded a total of 5,346,896 shares valued at GH¢7,722,438.61 changing hands, compared with 865,934 shares, valued at GH¢691,809.48 in the preceding week.

MTN dominated both volume and value of trades for the week, accounting for 88.94% and 88.90% of shares traded respectively.

The market ended the week with 3 advancers and 3 laggards as indicated on the table below.

 Source: Ghana Stock Exchange

CURRENCY MARKET

The Cedi retreated marginally against the USD for the week. It traded at GH¢11.0009/$, compared with GH¢10.9972/$ at week open, reflecting w/w and YTD depreciations of 0.03% and 22.04% respectively. This compares with a loss of 17.78% a year ago.      

The Cedi also depreciated against the GBP for the week. It traded at GH¢14.1191/£, compared with GH¢13.9879/£ at week open, reflecting w/w and YTD depreciations of 0.93% and 26.97% respectively. This compares with a depreciation of 7.59% a year ago.

The Cedi again weakened against the Euro for the week. It traded at GH¢12.0506/€, compared with GH¢12.0073/€ at week open, reflecting w/w and YTD depreciations of 0.36% and 24.11% respectively. This compares with a depreciation of 8.25% a year ago.      

The Cedi however strengthened against the Canadian Dollar at week end. It opened at GH¢8.3108/C$ but closed at GH¢8.2776/C$, reflecting w/w gain and YTD depreciation of 0.40% and 23.62% respectively. This compares with a depreciation of 16.01% a year ago.

 Source: Bank of Ghana

GOVERNMENT SECURITIES MARKET

Government raised a sum of GH¢1,979.94 million for the week across the 91-Day, 182-Day and 364-Day Treasury Bills. This compared with GH¢2,393.24 million raised in the previous week.

The 91-Day Bill settled at 24.39% p.a. from 23.95% p.a. last week whilst the 182-Day Bill settled at 26.03% p.a. from 25.80% p.a. last week. The 364-Day Bill settled at 29.65% p.a. from 29.25% p.a. previously.

The tables below highlight primary market activity at close of the week.

 Source: Bank of Ghana

Source: Bank of Ghana

COMMODITY MARKET

Oil prices climbed above 3% to a nine-week high on Friday as supply concerns and technical buying outweighed fears that further interest rate hikes could slow economic growth and reduce demand for oil. Brent futures traded at US$78.47 a barrel, compared to US$74.90 at week open, reflecting w/w gain and YTD depreciation of 4.77% and 8.66% respectively.

Gold prices steadied further above key support levels as markets awaited more cues on monetary policy from the Federal Reserve last week. Gold settled at US$1,932.50, from US$1,929.40 last week, reflecting w/w and YTD appreciations of 0.16% and 5.82% respectively.

The price of Cocoa decreased for the week. Cocoa traded at US$3,274.00 per tonne on Friday, from US$3,318.00 last week, reflecting w/w loss and YTD appreciation of 1.33% and 25.92% respectively.

International Commodity Prices

 Source: www.investing.com

BUSINESS TERM OF THE WEEK

Vesting Period: A vesting period is the time an employee must work for an employer in order to own outright employee stock options, shares of company stock or employer contributions to a tax-advantaged retirement plan.

Source: https://smartasset.com/financial-advisor/vesting-period

ABOUT CIDAN

CIDAN Investments Limited is an investment and fund management company licensed by the Securities & Exchange Commission (SEC) and the National Pensions Regulatory Authority (NPRA).

RESEARCH TEAM

Name: Ernest Tannor

Email:etannor@cidaninvestments.com

Tel: +233 (0) 20 881 8957

Name: Moses Nana Osei-Yeboah

Email:moyeboah@cidaninvestments.com

Tel: +233 (0) 24 499 0069

Name: Julian Sapara-Grant

Email:jsgrant@cidaninvestments.com

Tel:  +233 (0) 20 821 2079

CORPORATE INFORMATION

CIDAN Investments Limited

CIDAN House

House No. 261

Haatso, North Legon – Accra

Tel: +233 (0) 27 690 0011/ 55 989 9935

Fax : +233 (0)30 254 4351

Email : info@cidaninvestments.com

Website : www.cidaninvestments.com

Disclaimer: The contents of this report have been prepared to provide you with general information only. Information provided on and available from this report does not constitute any investment recommendation.

The information contained herein has been obtained from sources that we believe to be reliable, but its accuracy and completeness are not guaranteed.