Trading volume and value skyrocket with 179,949% and 72,599% increase
GCB and SOGEGH have emerged as standouts, earning GH¢ 0.10 and GH¢ 0.03 per share respectively, pushing their closing values to GH¢ 3.50 and GH¢ 0.90. Notably, the trading session witnessed an absence of decliners, a testament to the bullish sentiments on the market.
The Ghana Stock Exchange witnessed a surge in its total market capitalization, rising by a substantial GH¢ 47.77 million to culminate at an impressive GH¢ 73.05 billion. This unprecedented upswing further underscores the confidence investors have placed in the market’s trajectory.
The total volume of shares traded on Thursday, reached 83,177,260 indicating an increase in volume traded by 179,949.05%. The value traded demonstrated an equally impressive leap, soaring by 72,599.97% to touch GH¢ 107,316,780.85.
Leading the charge in trading volume and value, Scancom Plc. (MTNGH) emerged as the dominant force, accounting for an astounding 99.97% of the total value traded, with 83,165,727 shares valued at GH¢ 107,287,211.04 changing hands. A commendable second, SOGEGH traded 5,300 shares with a value of GH¢ 4,770.00. Conversely, GOIL, among the top 5 traded equities, displayed relatively muted activity, recording a trade value of GH¢ 990.00.
Turning to the indices, the benchmark GSE-Composite Index climbed by an impressive 4.39 points to culminate at 3,058.98 points. With a robust year-to-date gain of 25.28%, it has mirrored the market’s resilient ascent. The Financial Stocks Index also gained 8.29 points to close at 1,677.55 points. Despite a year-to-date return of -18.27%, the index’s recent performance adds an element of intrigue to the broader market narrative.
Equities on the local bourse are undoubtedly witnessing a period of exceptional dynamism, with impressive gains, heightened trading volumes, and notable index movements painting a vivid picture of a vibrant and resilient market.
Bear in mind this:
Something like 99% of the volume of shares traded was MTN shares reflecting similarly the over 99% value of trades. What we are talking about here therefore is most likely that one of the foreign institutional shareholders of a block of MTN shares sold to another foreign buyer of its choice. Shouldn’t your report have reported who that buyer was and who that seller was? Your readers would have appreciated that information in order to better understand what is happening in the market and more specifically in the telecommunications industry today. If anything at all, the fact that shares traded in one listed company by one shareholder can have such a profound impact on the public bourse and on all its vital readings should tell us that we are very far away from what should be by now a robust, mature and well-balanced stock market. This stock exchange is more than 25 years in existence. It should be a cause for us to work at improving and increasing the size and the diversity of our stock exchange rather than a cause for self-congratulation and empty celebration.
Then additionally to our lop-sided stock exchange market, in terms of what your report is referring to us as a leviathan leap in the total market capitalisation of the GSE, mustn’t we rather also bear in mind the fact that the unit of measurement of value that we are using to value the stock exchange is the Ghana Cedi?! Considering the fact that the Ghana Cedi has steeply declined and depreciated against all major currencies to become one of the Worlds’ worst performing currencies in recent times, – is this not what really accounts for the dramatic increase in total market capitalisation of the GSE?
Moral of this Story: Statistics never tell a story themselves; statistics point to a story, leaving it to the observer of the statistics to properly read and analyse what is happening in order to bring out the real picture and the story.
Please let us work harder to properly read and analyse financial indicators and statistics otherwise all we end up doing is misinforming our readers.
CZ.