info@businessghana.com
MACROECONOMIC INDICATORS
|
Q3, 2021 GDP Growth |
6.6% |
|
Average GDP Growth for 2022 |
5.3% |
|
2022 Projected GDP Growth |
5.5% |
|
BoG Policy Rate |
17.0% |
|
Weekly Interbank Interest Rate |
16.61% |
|
Inflation for March, 2022 |
19.4% |
|
End Period Inflation Target – 2022 |
8.0% |
|
Budget Deficit (% GDP) – Dec, 2021 |
9.7% |
|
2022 Budget Deficit Target (%GDP) |
7.4% |
|
Public Debt (billion GH¢) – Dec, 2021 |
351.8 |
|
Debt to GDP Ratio – Dec, 2021 |
80.1% |
STOCK MARKET REVIEW
The Ghana Stock Exchange strengthened for the week on the back of price gains recorded by 2 counters. The GSE Composite Index (GSE CI) added 3.70 points (+0.14%) to close at 2,697.35 points, reflecting year-to-date (YTD) loss of 3.30%. The GSE Financial Stocks Index (GSE FI) also gained 6.72 points (+0.30%) to close at 2,220.89 points, reflecting year-to-date (YTD) gain of 3.21%.
Market capitalization advanced marginally by 0.06% to close the week at GH¢64,047.56 million, from GH¢64,011.45 million at the close of the previous week. This reflects YTD decline of 0.75%.
Trading activity recorded a total of 2,065,583 shares valued at GH¢1,737,529 changing hands, compared with 3,626,127 shares, valued at GH¢3,602,157 in the preceding week.
IIL dominated volume of trades, accounting for 31.81% whiles GOIL dominated value of trades for the week, accounting for 53.01% of total value traded .
The market ended the week with 2 advancers and 1 decliner as indicated on the table below.
|
Price Movers for the Week |
|||
|
Equity |
Opening Price |
Closing Price |
Gain/Loss (%) |
|
Access Bank Ghana PLC |
2.09 |
2.29 |
?9.57% |
|
SIC Insurance Company Ltd. |
0.24 |
0.26 |
?8.33% |
|
Intravenous Infusions Limited |
0.05 |
0.04 |
?20.00% |
CURRENCY MARKET
The Cedi lost marginally against the USD for the week. It traded at GH¢7.1124/$, compared with GH¢7.1120/$ at week open, reflecting w/w and YTD depreciations of 0.01% and 15.55% respectively. This compares with YTD appreciation of 0.49% a year ago.
The Cedi also lost against the GBP for the week. It traded at GH¢9.2877/£, compared with GH¢9.2663/£ at week open, reflecting w/w and YTD depreciations of 0.23% and 12.50% respectively. This compares with YTD depreciation of 0.60% a year ago.
The Cedi however strengthened against the Euro for the week. It traded at GH¢7.6790/€, compared with GH¢7.7338/€ at week open, reflecting w/w appreciation and YTD depreciation of 0.71% and 11.08% respectively. This compares with YTD appreciation of 2.88% a year ago.
The Cedi again appreciated against the Canadian Dollar for the week. It opened at GH¢5.6526/C$ but closed at GH¢5.6380/C$, reflecting w/w appreciation and YTD depreciation of 0.26% and 15.90% respectively. This compares with YTD depreciation of 1.23% a year ago.
|
Weekly Interbank Foreign Exchange Rates |
|||||
|
Currency Pair |
Year Open |
Week Open |
Week Close |
W/W Change% |
YTD % |
|
|
01/01/22 |
11/04/22 |
14/04/22 |
|
|
|
USD/GHS |
6.0061 |
7.1120 |
7.1124 |
?0.01 |
?15.55 |
|
GBP/GHS |
8.1272 |
9.2663 |
9.2877 |
?0.23 |
?12.50 |
|
EUR/GHS |
6.8281 |
7.7338 |
7.6790 |
?0.71 |
?11.08 |
|
CAD/GHS |
4.7416 |
5.6526 |
5.6380 |
?0.26 |
?15.90 |
Source: Bank of Ghana
GOVERNMENT SECURITIES MARKET
Government raised a sum of GH¢777.59 million for the week across the 91-Day, 182-Day, and 364-Day Treasury Bills. This compared with GH¢1,155.11 million raised in the previous week.
The 91-Day Bill settled at 16.33% p.a., from 15.74% p.a. last week whilst the 182-Day Bill settled at 16.32% p.a., from 15.93% p.a. last week. The 364-Day Treasury Bill on the other hand settled at 18.85% p.a., from 18.28% p.a. recorded previously.
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 (%) |
|
|
01/01/22 |
11/04/22 |
14/04/22 |
|
|
|
91 Day TB |
12.53 |
15.74 |
16.33 |
?3.74 |
?30.36 |
|
182 Day TB |
13.21 |
15.93 |
16.32 |
?2.44 |
?23.50 |
|
364 Day TB |
16.64 |
18.27 |
18.85 |
?3.16 |
?13.26 |
|
2-Yr FXR TN |
19.75 |
19.75 |
19.75 |
0.00 |
0.00 |
|
3-Yr Bond |
20.50 |
20.85 |
20.85 |
0.00 |
1.71 |
|
5-Yr Bond |
21.00 |
20.75 |
20.75 |
0.00 |
-1.19 |
|
6-Yr Bond |
18.80 |
21.75 |
21.75 |
0.00 |
15.69 |
|
7-Yr Bond |
18.10 |
18.10 |
18.10 |
0.00 |
0.00 |
|
10-Yr Bond |
19.75 |
19.75 |
19.75 |
0.00 |
0.00 |
|
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
Crude prices jumped nearly 9% on the week as the market was hijacked once again by a supply scare on news that the European Union might phase-in a ban on Russian oil imports. Brent futures traded at US$111.70 a barrel on Friday, compared to US$102.78 at week open. This reflects w/w and YTD gains of 8.68% and 43.61% respectively.
Gold prices also edged higher as concerns of an escalation in the Russia-Ukraine conflict increased safe-haven bids for the precious metal, although a firmer U.S. dollar capped bullion's gains. Gold settled at US$1,974.90 from US$1,945.60 last week, reflecting w/w and YTD appreciations of 1.51% and 8.00% respectively.
Prices of Cocoa declined for the week. The commodity traded at US$2,583.00 per tonne on Friday, from US2,620.00 last week, reflecting w/w loss and YTD appreciation of 1.41% and 2.50% respectively.
International Commodity Prices
|
Commodities |
Year Open |
Week Open |
Week Close |
W/W Chg% |
YTD % |
|
|
01/01/22 |
11/04/22 |
14/04/22 |
|
|
|
Brent crude oil (USD/bbl) |
77.78 |
102.78 |
111.70 |
?8.68 |
?43.61 |
|
Gold (USD/t oz.) |
1,828.60 |
1,945.60 |
?1.51 |
?8.00 |
|
|
Cocoa (USD/MT) |
2,520.00 |
2,620.00 |
2,583.00 |
?1.41 |
?2.50 |
Source: www.investing.com
BUSINESS TERM OF THE WEEK
Limit-on-Open (LOO) Order: A limit-on-open (LOO) order is a type of limit order to buy or sell shares at the market open if the market price meets the limit's condition. This type of order is good only for the market opening and does not last for the whole trading day.
Source: https://www.investopedia.com/terms/l/limitonopenorder.asp
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
DisclaimerThe 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.
