GFIM records new all-time high trade volume in Oct. – GSE monthly report

Macroeconomic concerns weigh down GSE in January

The Ghana Fixed Income Market (GFIM) has bested its previous record for trade volume over the five-year period since the inception of the market, reaching a new all-time high in October, according to the monthly report issued by the Ghana Stock Exchange (GSE).

In what represents a bit of good news to the stakeholders of the Accra bourse, the GFIM saw a trade volume of 10.27 billion valued at GH¢10.52 billion, which was 246.08 million more than the previous record set in July of this year and represents an 8.25% appreciation from the 9.48 billion from September, which held the record of being the second all-time highest volume traded.

Year-on-year (YoY), the October volume traded was an 82% growth from the 5.6 billion recorded during the same period in 2019. Furthermore, cumulative year-to-date (YtD) trade stood at 85 billion and was valued at GH¢86.78 billion, a significant 93.94% rise from the 43.83 billion traded over the comparable period in 2019.

However, market liquidity at the end of October did see a marginal dip from the 68% recorded at the end of September to 59%.

On the equity side of things, October saw 35.48 million shares valued at GH¢46.51 million traded. This represents a 40% rise over the corresponding 25.27 million shares traded and a 105% appreciation over the GH¢22.65 million value for September.

This was attributed largely to block trades in telecommunication and banking shares, owing largely to the resilience and even growth of these sectors despite the pandemic, as evidenced by their Q3 reports.

“Cumulative volume and value traded for January to October 2020 was 440 million and GH¢341.71 million respectively. Adjusting for the 2019 block trade of 3.48 billion ETI shares valued at GH¢384.73 million, the figures recorded so far in 2020 indicate an increase in 52.45% (volume) and 41.37% (value) compared to the same period last year,” a portion of the report read.

Despite these, the GSE’s Composite Index witnessed a 1.03 point drop from September with 1,837.27 points and was a significant 14.57 dip from the 2,150.66 points recorded for the same period in 2019.

Market Capitalisation also saw a 0.08% drop from GH¢ 53.16 billion to GHc53.12 billion. This figure was a 4.35% dip from the 2019 figure of GH¢55.53 billion. October also saw PZ Cussons join Mechanical Lloyd as recent companies that have been formally delisted from the Main Market.

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