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29.04.2008 Business & Finance

Market Continues To Record High Trade Volumes

Trading on the Ghana Stock Exchange continued in earnest with total share volume bouncing high last week. Many capital gains were realised on the market, especially on the last day of trading with Fan Milk amassing 25 Ghana pesewas.

The week also witnessed the Annual General Meeting of Camelot Ghana Limited and SG-SSB's fact behind the figures at the exchange.

The total volume of shares traded shot up by 287 per cent from 4,712,200 in the previous week to 18,227,300 shares. This was valued at GH¢37,124,803.20 at close of last week's trading.

The GSE All-Share Index also increased from 8,833.32 points in the previous week to settle at 9,095.18 points, registering a week-to-date change of 261.86 points.
 
This feat was possible through the share appreciation of 10 equities. Thus, market capitalisation stood at GH¢14,738.46 million after beginning the week at GH¢14,576.18 million.

Subsequently, the year-to-date change was left at 37.81 per cent after starting the week at 33.84per cent.

The market continues to improve as all the major indictors inched up last week. The 37.81 per cent performance of the GSE year-to-date gain compared favourably to the 2.62 per cent registered in 2007; 0.07 per cent in 2006 and better still, than the negative 7.57 per cent recorded during the same period in 2005.

Movers and shakers

Ten equities saw their share prices moving northward. However, it took up to the last day of trading for Fan Milk (FML) to clutch the status as the top gainer, having its share price appreciating by 25 Ghana pesewas to stay at GH¢3.15.

Ecobank Transnational Incorporated (ETI) also went up by five per cent to close the week at GH¢2.10. Benso Oil Palm Plantation (BOPP), CAL Bank, SIC Insurance Company and Ecobank Ghana (EBG) advanced 4.92 per cent, 3.39 per cent, 2.44 per cent and 2.11 per cent in share prices respectively.

The other gainers were GGBL, HFC, EIC and UNIL. No listed equity shed share prices last week.

Twenty-four out of 36 equities listed on the exchange traded during the week, except ETI, which recorded a block trade during the week.
 
Ecobank Transnational Incorporated (ETI) was the most traded equity in terms of volume and value. By the end of the week, it had traded 17,333,300 volume of shares, valued at GH¢36,399,930.00.
 
This represented about 95.10 per cent of the total volume and 98.05 per cent of the total value traded during the week under review.

This was followed by Mechanical Lloyd Co. Limited, which also accounted for only 1.46 per cent of the total volume traded during the week.

Currency Market

The Ghana cedi rose against its major trading partners by the end of the week. On the whole the cedi improved on its last week's performance against these currencies but fell consistently against the dollar throughout the week.
 
Nevertheless, the performance of the cedi against the euro and the pound was undulating.

The GCS cedi index, which measures the average performance of the cedi against its international trading currencies, mirrored the cedi's yield.

The cedi index appreciated by 0.15 points from the previous week's level of 106.68 points to last Friday's level of 106.53 points.
 
 This denotes a year-to-date depreciation and a base year-to-date depreciation of 2.57 per cent and 6.53 per cent respectively.

The local currency appreciated by 2.26 Ghana pesewas against the euro and 1.60 Ghana pesewas against the British pound. Conversely, it fell to the dollar by 0.35 Ghana pesewas.

At close of the week, the cedi was trading at GH¢0.9836 to the dollar, representing year-to-date change of 1.69 per cent.
 
The cedi was also going for GH¢1.9385 and GH¢1.5396 to the British pound and the euro respectively. The result denotes a year-to-date change of 1.10 per cent and 8.63 per cent in that order.

On the forex market, the cedi levelled against its counterparts by the end of the week. Last week, the cedi stabilised to the dollar and the pound at GH¢0.9900 and GH¢1.9200 as happened in the previous week.
 
It, however, lost to the euro. By the end of the week, the local currency was trading to the euro at GH¢1.5500.

Money Market

The yield quoted on the short term of the Government of Ghana securities changed last week. The increase of the prime rate is still exerting pressure on the short-term money market interest rates.

The 91-day bill edged up by 0.29 basis point to close at 11.77 per cent, while the 182-day bill went down by 0.65 basis point to close at 11.14 per cent

The yields quoted on the 1-Year Note would be trading at 12.80 per cent for the week whilst the Two-Year Note would also be trading at a level of 13.50 per cent for the week.

— Gold Coast Securities Ltd

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