Investors confidence 'on the rise' to boost trade this week

On the Ghana Stock Exchange

Trading activity in terms of volumes on the stock market increased by 47.44% in the week under review as volumes of shares traded scaled up by 1,243,823. Further, the total values of shares traded increased to GHS 4,853,689 representing 66.82% appreciation week-on-week. There were 8 gainers and 2 losers at week-close.

The market will remain active this week mimicking last week trade pattern in terms of volumes and values as investors and stock market stakeholders recover from the shocking impact of GCB takeover of UTB and Capital Bank. Market liquidity will remain high this week as volatility levels will continue to stay low as a result of buoyant investor confidence. At the close of next week, the market is expected to maintain a positive YTD outlook while returning positively on its benchmark composite Index.

An analytical outlook into 2017 pictures YTD key market indices closing the year relatively better than 2016. Commodity-based stocks are expected to follow in an upward trajectory following an anticipated relative stability of major commodity prices on the world market. Most financial stocks may fail again to drive over-all returns on the market as the banking industry continues to record high levels of NPLs, financial stocks however may record lesser price volatilities as compared to 2016.

On the Ghana Alternative Market [GAX]-

Trading activities on the Ghana Alternative Market closed the week with 600 shares of IIL valued at GHS 54.00 changing hands.

HORDS currently lead record capital gains on the GAX, appreciating by 25% from 2016 year open.

On the Currency market

The Cedi gained marginally to the British Pound but lost to the US Dollar and Euro at week close. The local currency exchanged at a mid-rate of GHS 4.3858 to the USD, GHS 5.6509 to the GBP and GHS 5.1468 to the EURO as at week close. GN Market Analysts posit that, the Cedi is poised to exhibit some stability on the forex market in the short-term.

The GCFM Cedi index, a measure of the holistic performance of the Cedi on the interbank market now records a year-to-date depreciation of 8.57% losing at an average daily rate of 8.56 percent for the week under review.