info@businessghana.com
MACROECONOMIC INDICATORS
|
Q2, 2021 GDP Growth |
3.9% |
|
Average GDP Growth for 2021 |
3.5% |
|
2021 Projected GDP Growth |
5.0% |
|
BoG Policy Rate |
14.50% |
|
Weekly Interbank Interest Rate |
12.63% |
|
Inflation for October, 2021 |
11.00% |
|
End Period Inflation Target – 2021 |
8.0% |
|
Budget Deficit (% GDP) – Sep, 2021 |
7.7% |
|
2021 Budget Deficit Target (%GDP) |
9.5% |
|
Public Debt (billion GH¢) – Sep, 2021 |
341.8 |
|
Debt to GDP Ratio – Sep, 2021 |
77.8% |
STOCK MARKET REVIEW
The Ghana Stock Exchange closed lower for the second consecutive week on the back of declines in 5 counters. The GSE Composite Index (GSE CI) dropped 59.98 points (-2.05%) to close at 2,859.57 points, reflecting a year-to-date (YTD) gain of 47.28%. Likewise, the GSE Financial Stocks Index (GSE FI) dropped by 0.56 points (-0.03%) to close at 2,078.33 points, reflecting year-to-date (YTD) gain of 16.58%.
Market capitalization at the end of the week was GH¢64,220.97 million, representing a 0.82% decrease from GH¢64,848.73 million at the close of the previous week. This reflects YTD increase of 18.11%.
Trading activity declined for the week, relative to activity in the prior week. A total of 10,299,238 shares valued at GH¢13,983,438.18 changed hands for the week compared with 11,034,092 shares, valued at GH¢15,071,064.39 in the preceding week. MTN dominated both volume and value of trades for the week, accounting for 93.78% and 84% of total volume and value of shares traded respectively.
The market closed the week with no price advancers and 5 decliners as indicated on the table below.
|
Price Movers for the Week |
|||
|
Equity |
Opening Price |
Closing Price |
Gain/Loss (%) |
|
Scancom PLC |
1.25 |
1.2 |
-4.00% |
|
Fan Milk Ltd. |
4.05 |
4.00 |
-1.23% |
|
Guinness Ghana Breweries Ltd. |
1.81 |
1.80 |
-0.55% |
|
Total Petroleum Ghana Ltd. |
5.50 |
5.49 |
-0.18% |
|
Ecobank Ghana Ltd. |
7.81 |
7.80 |
-0.13% |
|
5 Best & Worst Performing Stocks as at 26/11/21 |
|
|
Best 5 Performing Stocks: |
YTD Return |
|
Fan Milk Ltd. |
270.37% |
|
BOPP |
232.50% |
|
GGBL |
100.00% |
|
TOTAL |
93.99% |
|
MTNGH |
87.50% |
|
|
|
|
Worst 5 Performing Stocks: |
YTD Return |
|
MAC |
-9.87% |
|
SIC Insurance Company Ltd. |
-12.50% |
|
Access Bank Ghana PLC |
-28.25% |
|
Unilever Ghana PLC |
-28.95% |
|
Cocoa Processing Co. Ltd. |
-33.33% |
CURRENCY MARKET
The Cedi continued its downward trend against the USD for the week. It traded at GH¢5.9142/$ on Friday, compared to GH¢5.9113/$ at week open, reflecting w/w and YTD depreciations of 0.05% and 2.60% respectively against the USD. This compares with YTD depreciation of 3.15% a year ago.
The Cedi however gained grounds against the GBP for the week. It traded at GH¢7.8804/£, compared with GH¢7.9578/£ at week open, reflecting w/w appreciation and YTD depreciation of 0.98% and 0.08% respectively against the GBP. This compares with YTD depreciation of 4.10% a year ago.
The Cedi also strengthened against the Euro for the week as it traded at GH¢6.6854/€, compared with GH¢6.6892/€ at week open, reflecting w/w and YTD appreciations of 0.06% and 5.67% respectively against the Euro. This compares with YTD depreciation of 8.98% a year ago.
The Cedi similarly strengthened against the CAD on the week as it opened at GH¢4.6780/C$ but closed at GH¢4.6246/C$, reflecting w/w appreciation and YTD depreciation of 1.15% and 2.06% respectively against the CAD. This compares with YTD depreciation of 3.02% a year ago.
|
Weekly Interbank Foreign Exchange Rates |
|||||
|
Currency Pair |
Year Open |
Week Open |
Week Close |
Change % |
YTD % |
|
|
01/01/21 |
22/11/21 |
26/11/21 |
|
|
|
USD/GHS |
5.7602 |
5.9113 |
5.9142 |
-0.05 |
-2.60 |
|
GBP/GHS |
7.8742 |
7.9578 |
7.8804 |
0.98 |
-0.08 |
|
EUR/GHS |
7.0643 |
6.6892 |
6.6854 |
0.06 |
5.67 |
|
CAD/GHS |
4.5292 |
4.6780 |
4.6246 |
1.15 |
-2.06 |
Source: Bank of Ghana
GOVERNMENT SECURITIES MARKET
Government raised a sum of GH¢1,190.37 billion for the week across the 91-Day, 182-Day and 364-Day Treasury Bills, compared to GH¢655.73 million raised in the previous week.
The 91-Day Bill remained unchanged from the previous week to settle at 12.50% p.a whilst the 182-Day Bills lost 2bps to settle at 13.17% p.a. respectively. The 364-Day Bill however added 1bp to settle at 16.30% p.a.
The table and graph below highlight primary market yields at close of the week.
|
Security |
Year Open |
Previous Yield % |
Current Yield % |
WoW Chg (%) |
YTD Chg (%) |
|
|
01/01/21 |
22/11/21 |
26/11/21 |
|
|
|
91 Day TB |
14.10 |
12.50 |
12.50 |
0.04 |
-11.31 |
|
182 Day TB |
14.15 |
13.19 |
13.17 |
-0.14 |
-6.93 |
|
364 Day TB |
16.96 |
16.29 |
16.30 |
0.10 |
-3.90 |
|
2-Yr FXR TN |
18.50 |
20.00 |
20.00 |
0.00 |
8.11 |
|
3-Yr Bond |
19.25 |
19.00 |
19.00 |
0.00 |
-1.30 |
|
5-Yr Bond |
19.85 |
18.80 |
18.80 |
0.00 |
-5.29 |
|
6-Yr Bond |
19.50 |
18.80 |
18.80 |
0.00 |
-3.59 |
|
7-Yr Bond |
20.50 |
18.10 |
18.10 |
0.00 |
-11.71 |
|
10-Yr Bond |
19.80 |
19.75 |
19.75 |
0.00 |
-0.25 |
|
15-Yr Bond |
19.75 |
19.75 |
19.75 |
0.00 |
0.00 |
|
20-Yr Bond |
20.20 |
20.20 |
20.20 |
0.00 |
0.00 |
Source: Bank of Ghana
COMMODITY MARKET
Oil prices plunged on Friday as new variant of Covid-19 raised fears in the market of renewed global travel restrictions that could derail the oil market’s recovery. The Commodity settled lower for the fourth straight week as Brent futures traded at US$72.72 a barrel on Friday, reflecting w/w loss and YTD gain of 7.82% and 40.39% respectively.
Gold prices recorded losses for the week after concerns over the omicron virus eased. Gold prices settled at US$1,785.50 per ounce on Friday, reflecting w/w and YTD loss of 3.57% and 5.78% respectively.
Prices of Cocoa also declined for the week as the commodity traded at US$2,340.00 per tonne on Friday, reflecting w/w and YTD losses of 6.14% and 10.10% respectively.
International Commodity Prices
|
Commodities |
Year Open |
Week Open |
Week Close |
Chg % |
YTD % |
|
|
01/01/20 |
22/11/20 |
29/11/20 |
|
|
|
Brent crude oil (USD/bbl.) |
51.80 |
78.89 |
72.72 |
-7.82 |
40.39 |
|
Gold (USD/t oz.) |
1,895.10 |
1,851.60 |
1,785.50 |
-3.57 |
-5.78 |
|
Cocoa (USD/MT) |
2,603.00 |
2,493.00 |
2,340.00 |
-6.14 |
-10.10 |
Source: www.investing.com
BUSINESS TERM OF THE WEEK
Ask Price: The ask price of a security is the price that the seller of the security is willing to sell the security for.
Source: https://corporatefinanceinstitute.com/resources/knowledge/trading-investing/bid-and-ask/
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).
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.
