GSE Remains Upbeat Supported by Sustained Investor Interest in Financial Counters
The Ghana Stock Exchange (GSE) closed the final week of October on a positive note, buoyed by sustained gains in financial stocks that lifted the market indices and expanded overall capitalization.
The benchmark GSE Composite Index (GSE-CI) advanced by 0.22% to close at 8,385.35 points, while the Financial Stock Index (GSE-FSI) gained 2.34% to end at 4,193.90 points. The upward momentum in the financial sector saw market capitalization increase marginally by GH¢15.69 million to GH¢166.54 billion.
Market activity was relatively upbeat, with trading volumes doubling week-on-week to 10.52 million shares valued at GH¢40.65 million. MTN Ghana dominated the trading chart, accounting for 8.59 million shares valued at GH¢36.08 million. Other actively traded counters included CAL Bank, Ecobank Transnational Incorporated (ETI), SIC Insurance, and Societe Generale Ghana (SOGEGH).
Top Gainers and Laggards
Ecobank Ghana (EGH) led the gainers’ chart, appreciating by GH¢1.44 to close at GH¢15.44, representing a 137.54% year-to-date gain. GCB Bank followed closely, climbing GH¢1.33 to GH¢16.97, while SOGEGH advanced GH¢0.61 to GH¢3.41. Other notable gainers included Standard Chartered Bank (+GH¢0.11), GOIL (+GH¢0.10), Clydestone (+GH¢0.06), and Enterprise Group (+GH¢0.05).
Conversely, CAL Bank (-GH¢0.31 to GH¢0.49) continued to post losses amid ongoing sell-offs linked to its rights issue. MTN Ghana also shed GH¢0.05 to close at GH¢4.20, while ETI, GLD, and Unilever Ghana recorded marginal declines as well.
Despite the mixed performance, analysts observed that investor appetite for financial equities remained firm, underpinned by strong quarterly results and improved sentiment within the banking sector.
Currency and Commodities Market Update
In the currency market, the cedi closed the week weak against major trading currencies. The local unit depreciated slightly against the US dollar, trading at GH¢10.90 compared to GH¢10.85 the previous week. The pound sterling and euro also weakened to GH¢14.30 and GH¢12.57 respectively.
On the commodities front, Brent crude oil slipped 2.1% to US$65.04 per barrel, reflecting subdued global demand. Gold prices fell to US$3,982.07 per ounce, while cocoa declined sharply by 5.5% to US$5,911.19 per metric tonne on the international market.
Regional Stock Market Comparison
Ghana’s equities market outperformed most peers across the continent, with the GSE-CI recording a year-to-date return of 71.53%, the highest among tracked African indices. Botswana’s BGSMDC rose 5.26%, Egypt’s EGX-30 gained 28.67%, Kenya’s NSE All Share Index advanced 52.49%, and Nigeria’s NGSE ASI increased 49.74%.
Outlook
Market analysts expect the positive trend on the GSE to persist in November, supported by strong third-quarter earnings from major banks and renewed investor confidence in the equities market.
