Ghana stock market bounces back
Trading on the Ghana Stock Exchange (GSE) bounced back after eight consecutive weeks of cautionary plays and profit-taking, investors turned slightly bullish this week.
The benchmark GSE-Composite Index rose by 1.5 per cent to close the week at 2,921.7 points, Nordea Capital Investment Stock Expert review the first week of July trading obtained by the Ghana News Agency in Accra revealed.
According to the Nordea Capital Investment Stock review, the investors optimism was driven largely by locals as foreigners remained virtually absent from the Bourse.
Consequently, price movements focused on trends rather than fundamentals, Nordea Capital Investment stock analysist concluded, projecting however that they expect trend to be short-lived on the assumption that market correction will ultimately bring stock prices in line with fundamentals.
The week under review saw price movements across multiple sectors; led by PZ Cussons, which rose by 11.1 per cent to end at GH¢0.50; Ecobank Transnational Incorporated also appreciated by 10 per cent to GH¢0.22 and the Republic Bank also rose by 3 per cent to GH¢1.36 per share.
The week under review also saw CAL Bank climb by 1.6 per cent to GH¢1.30 while fast moving consumer goods giant, Unilever Ghana Limited inched 0.1 per cent to end the week at GH¢17.81 per share.
The laggards for the week under review were by Ecobank Ghana, which saw lower profits in the first half of 2018, with a decline on the back of selling pressure by 10.1 per cent to GH¢7.60 per share.
The SIC insurance trimmed by 2.6 per cent to close the week at GH¢0.38 while GCB also shed 2.3 per cent to GH¢5.03 per share; the Standard Chartered fell by 1.5 per cent to GH¢26.60, as investors continue to sell-off their holdings.
The Enterprise Group Limited dropped by 0.3 per cent to GH¢3.01, Fan Milk Limited slipped 0.1 per cent to end the week at GH¢13.69 per share.
CAL Bank emerged as the most traded following a successive block trades last Thursday and Friday, the Bank saw its traded counter in value terms accounting for 74.5 per cent of total value traded.
A total of 3.1 million shares exchanged hands in the week under review while value traded also dipped to GH¢4.8 million.
Nordea Capital is an investment bank, licensed by the Securities and Exchange Commission and offers a comprehensive range of services in asset management, research and strategy, corporate finance and private equity to institutional, corporate and private clients.
The GSE is the principal stock exchange of Ghana. The exchange was incorporated in July 1989 with trading commencing in 1990.
Criteria for listing include capital adequacy, profitability, spread of shares, years of existence and management efficiency.
Source: GNA