Stock Market Highlights
•The benchmark index advanced by 0.04% due to gains in financial stocks to close at 2,204.47 with -2.33% year-to-date return while market capitalization increased by 0.01% to settle at GH¢56.63 billion.
•SIC Insurance Ltd (+11.11%) and Standard Chartered Bank (+0.26%) pushed the financial index up by 0.08% to close at 2,014.33 with a -0.26% year-to-date return.
•Intravenous Infusions Ltd (-25.00%) was the sole loser this week.
Activity Levels Strengthened
•A total of 18,853,538 shares valued at GH¢13,002,466 changed hands this week compared to 4,621,673 shares valued at GH¢3,130,797.
•MTN Ghana dominated trades for the fourth straight week, accounted for 93.90% of total value traded.
•We expect a pick up in trading activity as companies release audited FY19 results.
AngloGold Ashanti Limited (AGA)
AGA nearly doubled free cash flow in 2019 to $127m, raised its dividend and improved leverage to below its target level after a higher gold price and improved efficiencies helped ensure exceptional performances at a number of its key mines.
Fixed Income Market Highlights
•Government raised GH¢581.43 million, 56.07% of its weekly auction target last week. Investors bought GH¢476.99 million of 91 day bills, GH¢93.75 million of 182 day bills and GH¢10.69 million of 364 day bills compared to GH¢786.78 million of 91 day bills and GH¢74.34 million of 182 day bills last week.
•Government also raised GH¢484.73 million in 2 year notes.
•The yield on the 91 and 182 day bill remained at 14.70% and 15.18%, respectively while the yield on the 364 day bill closed at 17.81%.
•The target for the next auction is GH¢861.12million in 91 and 182 day bills.
•Activity declined marginally as 2,011 trades valued at GH¢885.30 million changed hands compared to 2,192 trades valued at GH¢1,094.29 million last week. Activity was concentrated in the medium term (2 – 10 years) for the sixth straight week, accounting for 64% of trades while securities in the short term (below 2 years) accounted for 34% of trades.