The main market of the Jamaica Stock Exchange broke through resistance at 290,000 points on the All Jamaica Composite Index this week thanks mostly to a big surge in the price of Scotia Group to a record $57.99.
The All Jamaica Composite Index closed on Thursday at 293,186.46 points having hit 296,779.53 early in the day and technical indicators point to much higher levels in the months ahead and should 510,000 points by the end of 2018 before a great deal of resistance.
The central bank cut interest rates by 25 basis points recently and that seems to be lending support to the market, but apart from the movement in Scotia, there are not much gains evident in most stocks, except for what appears to be some amount of increased trading. The accompanying chart shows the next two levels of resistance, around 370,000 points and 510,000 points on the All Jamaica Composite. Those levels seem some distant away but should be reached in 2018. The first level is 26 percent away and the other 74 percent away.
Stocks to watch as the market ride on, include Barita Investments, Berger Paints, Caribbean Cement, Grace Kennedy, Jamaica Broilers, Jamaica Stock Exchange, NCB Financial Group, JMMB Group, Sagicor Group, Scotia Group and Supreme Ventures.
More losses than gains on TTSE
Trading levels on the Trinidad & Tobago Stock Exchange on Thursday rose above Wednesday’s with 14 securities changing hands compared to 15 on Wednesday.
At the close, 2 stocks advanced, 4 declined and 8 were unchanged as 478,341 shares traded at a value of $14,743,320 compared to Wednesday’s trades of 270,045 valued at $9,569,576. Massy Holdings dominated with 51 percent of the volume traded and 81 percent of the value of trades.
The Composite Index fell 0.28 points to 1,241.69, the All T&T Index declined 0.56 points to 1,788.86 and the Cross Listed Index closed at 93.28 points.
IC bid-offer Indicator| The Investor’s Choice bid-offer ended with 4 stocks with bids higher than last selling prices and 3 with lower offers.
Gains|Agostini’s closed at a 52 weeks’ high of $20.52, after gaining 1 cent with 40,000 shares valued at $820,800 trading and Republic Financial Holdings ended trading 600 shares and gained of 2 cents to close at $101.92.
Losses| The last traded prices of securities declining and the volume changing hands are Clico Investment that dropped to a new 52 weeks’ low of $20.50, losing 9 cents with 18,127 shares valued at $371,604, National Flour Mills with a loss of 5 cents, and closed at $2.05 with 1,000 units trading, Point Lisas closed 10 cents lower to $3.90 with 1,050 shares and Scotiabank closed at $58.02, losing 8 cents trading 30 shares.
Firm Trades| The last traded prices of securities and the volume traded unchanged at the close of trading are Berger Paints that closed at $4.05 with 800 shares, First Citizens trading 1,710 shares at $31.68. Grace Kennedy closed at $2.85 with 1,000 stock units, Guardian Holdings held firm at $16.60 with 7,500 shares. Massy Holdings closed at $48.92 with 245,331 units valued at $12,001,593, National Enterprisesexchanged 500 shares at $10.48, Sagicor Financial remained at $8.50 with 148,693 shares valued at $1,263,891 and Scotia Investments closed at $2.20 with 12,000 shares.
Jamaica’s forex trading moderates – Thursday
Trading in the Jamaican foreign exchange market slowed on Thursday, resulting in US$34.55 of purchases by dealers of all currencies and outflows of US$25.84 million.
In contrast, purchases by dealers on Wednesday amounted to the equivalent of US$50.57 million while dealers sold US$42.83 million.
In USA dollar trading, inflows ended at US$32.45 million versus US$40.92 million on Wednesday with outflows of US$24.24 million compared to US$34.27 million.
At the end of trading, the US dollar was sold at an average rate of J$129.96 from J$129.91 previously while dealers bought the US currency at an average of J$128.69 versus J$128.63 on Wednesday.
The selling rate for the Canadian dollar climbed to J$106.61 from J$105.61 at the close on Wednesday while the British Pound was more costly, with J$169.24 buying the British currency versus J$168.72 and the euro, gained in value against the Jamaican dollar, with it taking J$157.79 to buy the European common currency, versus J$155.69 previously.
Perkins leaving Jamaica’s Sagicor Bank
Fresh on the heels of announced changes at the top of Jamaica’s second largest financial entity, Scotia Group, another major financial institution has announced changes at the top of its operations.
Sagicor Group Jamaica today advised that the Board of Directors announced the retirement of Donovan Perkins as President & Chief Executive Officer of the Bank effective September 30, after over 25 years of outstanding service to the Bank. The board advised that Philip Armstrong, the Deputy CEO will act as Chief Executive Officer of the Bank, effective October 1. Armstrong has been with group for several years, joining Pan Caribbean Merchant Bank before the merger with Royal Bank that was renamed Sagicor Bank when Sagicor Group acquired it from Royal Bank in 2014. Sagicor Bank has assets of $115 billion as of March this year or 9.4 percent of the total commercial banking system.
Earlier this week Scotia Group, announced the departure of Jackie Sharp as head of the group, to be be replaced by David Noel a long standing employee of the group. Scotia Group controls $329 billion or 26.7 percent of Jamaica’s banking assets at the end of March this year, data from the country’s central bank shows.
Jamaica’s forex trading remains elevated – Wednesday
Trading in the Jamaican foreign exchange market remained elevated on Wednesday, resulted in US$50.57 of purchases by dealers of all currencies and outflows of US$42.83 million.
In contrast, purchases by dealers on Tuesday amounted to the equivalent of US$53.88 million while dealers sold US$42.39 million.
In USA dollar trading, inflows ended at US$40.92 million versus US$46.71 million on Tuesday with outflows of US$34.27 million compared to US$36.62 million.
At the end of trading, the US dollar was sold at an average rate of J$129.91 from J$129.42 previously while dealers bought the US currency at an average of J$128.63 versus J$128.29 on Tuesday.
The selling rate for the Canadian dollar climbed to J$105.61 from J$105.17 at the close on Tuesday while the British Pound was more costly, with J$168.72 buying the British currency versus J$165.79 and the euro, gained in value against the Jamaican dollar, with it taking J$155.69 to buy the European common currency, versus J$155.95 previously.