STOCK MARKET REVIEW

The Ghana Stock Exchange continued its bullish trend this week on the back of price gains by seven counters.

The GSE Composite Index (GSE-CI) closed higher by 95.29 points (+1.71%) for the week to close at 5,659.76 points, reflecting a year-to-date (YTD) gain of 15.78%. The GSE Financial Index (GSE-FI) also gained 101.38 points (+3.74%) for the week to close at 2,814.30 points, reflecting a year-to-date (YTD) gain of 18.21%. 

Market capitalization inched up by 2.24% to close the week at GH¢127,820.29 million, from GH¢125,023.12 million at the close of the previous week. This reflects a YTD gain of 14.79%.

The week recorded a total of 16,405,940 shares valued at GH¢109,018,244.80, compared with 3,088,699 shares, valued at GH¢24,158,412.38 traded in the preceding week.

MTNGH dominated the volume of trades for the week while New Gold Exchange Traded Fund dominated the value of trades for the week accounting for 91.63% and 59.31% of the volume and value of shares traded respectively.

The market closed the week with 7 advancers and 1 decliner, as indicated in the table below

Source: Ghana Stock Exchange

CURRENCY MARKET

The Cedi gained marginal grounds against the USD for the week. It traded at GH¢15.5300/$, compared with GH¢15.5400/$ at week open, reflecting w/w gain and YTD depreciation of 0.06% and 5.34% respectively. This compares with a loss of 4.96% a year ago.            

The Cedi also gained marginally against the GBP for the week. It traded at GH¢19.5484/£, compared with GH¢19.6418/£ at week open, reflecting w/w gain and YTD depreciation of 0.48% and 5.87% respectively. This compares with depreciation of 4.06% a year ago.

The Cedi again strengthened against the Euro for the week. It traded at GH¢16.1524/€, compared with GH¢16.2463/€ at week open, reflecting w/w gain and YTD loss of 0.58% and 5.81% respectively. This compares with a loss of 2.93% a year ago.      

The Cedi appreciated against the Canadian Dollar for the week. It opened at GH¢10.9413/C$ and closed at GH¢10.7598/C$, reflecting w/w gain and YTD depreciation of 1.69% and 5.10% respectively. This compares with a depreciation of 2.07% a year ago.

 Source: Bank of Ghana

GOVERNMENT SECURITIES MARKET

The government raised a sum of GH¢7,417.94 million for the week across the 91-Day, 182-Day and 364-Day Treasury Bills. This compared with GH¢9,634.33 million raised in the previous week.       

The 91-Day Bill settled at 20.79% p.a. from 24.48% p.a. last week whilst the 182-Day Bill settled at 22.99% p.a. from 25.39% p.a. last week. The 364-Day Bill settled at 22.70% p.a. from 27.30% p.a. last week.

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

 Source: Bank of Ghana

Source: Bank of Ghana

Source: Bank of Ghana

COMMODITY MARKET

Oil prices slipped amid heightened concerns over economic disruptions from U.S. trade tariffs. Brent futures traded at US$73.18 a barrel, compared to US$74.05 at week open, reflecting w/w and YTD depreciations of 1.17% and 1.96% respectively.

Gold prices weakened as the dollar edged up ahead of a key U.S. inflation report by the Federal Reserve. Gold settled at US$2,848.50, from US$2,953.20 last week, reflecting w/w loss and YTD gain of 3.55% and 7.86% respectively.

The price of Cocoa again declined for the week. Cocoa traded at US$9,124.00 per tonne on Friday, from US$9,140.00 last week, reflecting w/w and YTD depreciations of 0.18% and 20.97% respectively.

International Commodity Prices

Source: www.investing.com

INVESTMENT TERM OF THE WEEK

Traunch: It refers to one of a series of payments to be paid out over a specified period, subject to certain performance metrics being achieved. It is commonly used in venture capital (VC) circles to refer to the fundraising rounds used to fund startup companies.

Source:

https://www.investopedia.com/terms/t/traunch.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).

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 in 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.