TTSE: Wednesday, May 8th 2013

Total trade up but . . .

Wednesday’s trading on the T&T stock exchange resulted in some 786,889 units trading as Guardian Holdings fell 50 cents as 585,855 units valued at $10.5million changed hands after the company released first quarter results that was less than the previous year’s quarter. This was mainly caused by one-off charges but with the core business doing well with profit up 29 percent without the charges.

One Caribbean Media with very good first quarter results, saw a jump in the stock price of 40 cents on the trading of 10,000 units, to end the day at $17. There were no stocks on offer at the end of trade but there was a bid for 7,587 units at $16.76. Trinidad Cement traded 146,781 units and gained just one cent in the process, to close at 96 cents. Republic Bank traded 11,110 units at $110, up 1 cent on the day.

15 securities of which 7 advanced, 3 declined and 5 traded firm as 786,889 units traded with a value of $12.17 million.

The following stocks closed with bids higher than the last selling price; Ansa Merchant Bank bid $38.51 last sale $38.50, Berger last sale $3.55 closing bid $3.58, Grace Kennedy, bid $3.32 last price $3.23, National enterprises bid $16 last sale $15.58, Point Lisa with a bid of $3.65 versus a last sale of $3.60, Scotia Investments last sale price $1.55 with the closing bid of $1.58, Republic bid is a cent above the last selling price of $110 and West Indian Tobacco bid $110 last sale $107.07.

Clico Investment Fund traded 28,941 units with a value of $610,000.

Daily Trading 7th May 2013

JSE | Junior market sets a record with no trades

The junior market achieved a record today when no shares traded. This has never happened, except in the early days when Access Financial Services was the only listed stock on the junior market. Many investors and brokerage house personnel told ICInsider.com that investors were wondering what had happened, some thinking a computer glitch had occurred. In the end, we were told that brokers did not effect any trades since the bids and offers were quite far apart for some stocks and in some cases the volumes on either side, offer or buy, were small.

Five stocks in the junior market and 5 in the main market closed with bids above the last sale price, which means higher prices ahead.

JSEINdicesMay7Bullish days ahead? | The junior market is not the only place that is showing signs of improved investor’s sentiment. In the main market, Scotia Group has rebounded from the post NDX effect by trading in good volumes, NCB is well off the low it reach after the NDX announcement, Grace Kennedy and Carreras have been moving higher.  A number of stocks seem to have found a floor, with strong bids at their last selling price. At the same time, supply is drying up for some stocks. That may well be so, but the all signals are not yet in place for a grand rally.

Interestingly, the market is not reacting negatively to the write-off of unrealized investment gains that have knocked off huge profits for the March Quarter among the financial institutions. Investors seem to be looking beyond that, to recognize that even with those one-off charges, stock prices are still undervalued on the whole. Also, interest rates are likely to fall some more and with very low yields on money market instruments, stocks may be the main thing in town for a long time to come.

Scotia Bank with 1.8 million shares changing hands today valued at $39.1 million commanded the bulk of trading and the stock price moved up 31 cents. Interestingly, the bid to offer ratio on this stock is pitched in favour of buyers as they outnumber sellers. Volumes have generally been low for the sell side while demand is much higher. NCB  rose 19 cents and does not have much volume below $20 per share on the sell side, a sign that the price could rise some more.

Jamaica Broilers has strong buying interest and so does the Gleaner with more than 3 million on the bid at $1.20.

Market signs | The market is displaying signs of upward movements to come but it will have to close well over 87,000 points on the All Jamaica Index before we see signs of a sustainable rally. With the market closing today at 83,282, there are still some movements to go before realizing what could be a bull run.

The market traded $50,469,026.73 in local currency as well as US$9,577.70 in the US dollar market.

TTSE | WITCO jumps $7, market heading higher

West Indian Tobacco Company (WITCO) stock jumped $7.07 to end the day at a all time record of $107.07.

A volume of 1,314,293 shares traded on the main market valued at $5,530,257.06. Trinidad Cement accounted for 637,564 shares valued at $605,685.80, followed by Jamaica Money Market Brokers with a volume of 430,000 shares being traded for $215,000.  Angostura Holdings contributed 125,055 shares with a value of $1,125,495 and Neal & Massy Holdings added 40,177 shares valued at $2,370,443.

TTSEMay7Point Lisas Industrial Port Development Corporation suffered the day’s sole decline, falling $0.01 to end the day at $3.64 on a day when trading took place in 14 securities of which 6 advanced, 1 declined and 7 traded firm.

Clico Investment Fund was the only active security on the Mutual Fund Market, posting a volume of 230,253 shares valued at $4,854,228.71 while advancing 0.07 to end at $21.08.

Closing prices point to a higher market ahead | Clear signs of this can be seen from the number of stocks that have bids at the same level as the last traded price but more importantly there are 7 stocks where the bids are above the last traded price. The companies are Ansa Merchant Bank bid $38.51 last sale $38.50, Berger last sale $3.55 closing bid $3.58, Grace Kennedy, bid $3.31 last price $3.23, One Caribbean Media, $16.75 is the bid versus last price of $16.60, Scotia Investments last sale price $1.55 with the closing bid of $1.57, Scotia Bank which last sold at $69.27 now has a bid of $69.30  and West Indian tobacco which traded today at $107.07 with a closing bid of $110.

ForEx | J$ appreciation continues

In Tuesday’s foreign exchange trading, the value of the Jamaican dollar continued its appreciation as it took J$99.0056 to purchase a US dollar. At the end of Monday’s trade it took J$99.0276 to purchase one US dollar.

ForExSummaryMay7Sellers of the US dollar were better off on average than on Monday as they got J$98.53 for each US dollar they sold compared to $98.4189 on Monday. Sellers of Canadian dollars and Pound sterling were not as fortunate as they got 24 cents less for selling on Monday compared to Tuesday for the Canadian dollar and 15 cents less for selling the pound. It took just 4 cents less to purchase the Canadian dollars and 18 cents less for the Pound.

The equivalent of US$39.2 million, were purchased and US$39.97 million were sold, as increased liquidity continues to enter the market.

Market signals | Highest selling rate for the US was J$104 and the lowest J$83.26 while the highest buying rate for the US was J$99.2 and the lowest J$81.16. The selloff of foreign currency and appreciation of the local currency seems set to continue.

ForExDEtailsMay7

TT government moves to mop up liquidity

The Government of the Republic of Trinidad and Tobago proposes to raise TT$1,000 million through the issue of a 7-year bond with a coupon rate of 2.60% per annum to mop up excess liquidity in the financial market.

The bonds will be issued through the automated auction system operated by the Central Bank. The issuance of this bond will reduce excess liquidity levels in the banking sector in accordance with established monetary policy, while the proceeds of the bond will be held in a frozen account at the Central Bank on behalf of the government. The issue document stated.

A single price auction system will be used and, as far as possible, applicants will be allotted bonds to the fullest extent of their applications. Government Securities Intermediaries are appointed by the Central Bank to act as counterparties in the auction and, thereafter, to provide a secondary market for the bonds. Bids can be placed competitively or non-competitively by submitting the relevant application form, along with payment to a Government Securities Intermediary. The maximum allotment that can be obtained through a non-competitive bid is $100,000 face value at a price established in the competitive side of the auction. This price is the minimum price, when the successful bids are ordered from the highest price to the lowest price and may be at par, premium or a discount.

The government in the offer document that it is also mindful of its role in the development of the local capital market and, in particular, the development of the government bond market. To this end, it continues to provide securities that will cater to the needs of all investors.

The auction will be opened at 10:45 a.m. on Monday May 6, 2013 and will close at 1:00 p.m. on Friday May 17, 2013. Bonds will be dated May 21, 2013.

Daily Trading 6 May 2013

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JSE Trading | Proven dominates again

Proven dominated trading again today as it did on Thursday last week. NCB Capital Market purchased nearly US$549,599 of the shares as 5,000,900 Proven’s ordinary shares changed hands, with the bulk of it, 5 million units, being sold by one of NCB Capital Market’s clients which they bought for their own account at US$0.1099 each. Proven also dominated in the preference share segment of the market with its 8% preference shares, trading 9,681,047 units valued at $48,708,793.93, as the stock slipped 6 cents, to close at $5.03. Data shows that NCBCM sold from their in-house portfolio to various clients.

Trading volume came in at 17,658,172 units with a value of $159,616,952.40.

JSEINdicesMay6Mayberry Investments sold 1.733 million Scotia Group shares from in-house plus 150,000 units on behalf of one of their clients in today’s trading as Scotia Group saw 2.411 million units trading with a value of $52.98 million. Jamaica Broilers saw trading in 266,098 units, with a value of $1.198 million. Sagicor Investments bought the bulk of the Scotia Bank shares apparently mostly for clients.

In contrast to Scotia, National Commercial Bank traded just 27,610 units at a value of $506,000 but Lasco Manufacturing traded 51,421 units valued at $555.4 million.

At the close the market, the All Jamaica Composite index gained 789.23 points closing at 83,274.18. The main market index, the JSE Index, closed up 448.64 at 84,259.73 points, the junior market index slipped 7.71 to 620.75 mainly due to 47 cent drop in Dolphin Cove shares to $7.92. Also contributing to the fall of this index was a 19 cents fall in Blue Power on 2,404 shares that traded and 10 cents off for Access Financial down to $7 and Consolidated Bakeries off 10 cents to $1.10.

Grace Kennedy gained 50 cents to close at $55.51 and Scotia Bank gained 69 cents to $21.99. Seven stocks closed the day with higher bids than the last selling price. These include Blue Power, Carreras, Ciboney, Dolphin Cove, Jamaica Producers, Kingston Properties and Scotia Investments.

Watch for further advances in the market in the trading days ahead is the message from the market.

TTSE Trading |  Republic Banks puts on $1

Republic Bank had the biggest day trading with an increase of $1.08 to end the day at $109.98.

In another moderate day of trading, 550,425 shares crossed the floor of the main market valued at $6,150,572.56. Angostura Holdings traded 430,897 shares (78 percent of shares trading) for a value of $3,878,073, followed by Point Lisas Industrial Port Development Corporation with 47,763 shares for $174,334.95. Sagicor Financial Corporation saw trading in 30,190 shares with a value of $208,317.70, while Neal & Massy Holdings added 24,164 shares valued at $1,425,676.00. Angostura Holdings suffered the day’s greatest decline, falling $0.50 to close at $9.00.

Clico Investment Fund traded 20,425 shares valued at $429,129.25 as the price declined by $0.11 to end at $21.01.

TTSEMay6Trading took place in 13 securities of which 2 advanced, 3 declined and 8 traded firm.  At the end of trading, there was only one stock with its bid above the last selling price. On Friday there were 5 stocks that closed above their last selling price.

ForEx Trading | FX sell off continues

Authorized dealers were selling the US dollar at JS$99.0276 on average on Monday, but they were paying $98.42 on average to purchase the funds from the public. The prices continued lower than the prior trading day, as was the case all of last week.

Purchases by the dealers amounted to US$41.2 million with sales exceeding purchases by over US$3 million when US$44.36 million were sold to the public. The imbalance between sales and purchases is unusual for Mondays which are normally days when purchases exceed sales. The out turn for Monday suggests that authorized dealers are selling off some of their portfolio. If so, rates could decline more on Tuesday as more sell off takes place.

ForExSummaryMay6Interestingly, while the averages are falling, that is not the case for the highest traded selling price which remains at $104.22 with the lowest settling at $82.66 according the daily Bank of Jamaica’s foreign exchange report. The highest buying rate came out at $99.30 and the low $81.16. Rates for the Canadian dollar also fell from Friday’s close while the Pound sterling rates were mixed, with selling being slightly higher than on Friday but the rate for purchasing was lower by $1.70.

ForExDEtailsMay6

Observers say FX market is liquid

ForEx trading as at Friday 4 May, 2013 | Sale of foreign exchange was greater than the amounts purchased, but the selling rate for the US dollar slipped yet again, in a two-week long appreciation of the beleaguered currency. The closing average rate of the US dollar against the Jamaican dollar is now down to $99.19 compared to yesterday’s $99.26, the currency sold for an average rate of $99.36 on Monday and is well off the low of J$99.81 reached on April 12th. The Jamaican dollar has appreciated every day this week.

Amounts traded | Authorized dealers purchased more funds today than on Thursday, US$34.14 million vs. $32.8 million, but sales amounted to $38.65 million. Only $26.54 million was sold on Thursday. Based on the trend seen from last week and evident all of this week, the currency may well end up below $99 to US$1 during next week. Where it will end? No one really knows, except may be central bankers?  One person within the financial system told ICInsider.com that some corporations and individuals have been squeezed holding the US dollar when Bank of Jamaica launched the index bond which sucked liquidity out of the market for Jamaican dollars.

What is really happening? |  ICInsider.com spoke to two persons within the financial sector who are in a position to say what’s going on. One said that corporate clients are no longer demanding FX as they did before since the announcement that the IMF board would be reviewing Jamaica’s application for funding. Individuals who had bought FX earlier are now offloading, fearing further revaluation of the Jamaican dollar. Even financial institutions are off loading into the market. Both respondents said that supply is adequate to meet demand as such persons are not rushing to buy now as they may purchase what they need later at a lower price.

Developments are really worth watching as liquidity returns to the market with far more positive sentiment that before April.

Daily Trading 3 May, 2013

JSE | Prices up for 15 stocks 

Stocks prices were on the up in today’s trading as advancing stocks outnumbered declining ones 3 to 1 and 15 stocks recorded gains ranging from a high of 30 cents to a low of 1 cent. Only 5 stocks declined between 40 cents to 1 cent. There was trading in 26 stocks overall. In spite of advancing stocks being dominant, the main market indices actually fell moderately with just the junior market and the combined indices moving up. The decline in the indices is based on the average prices the stock exchange uses in its computation. The changes reported here are based on the last selling prices of each stock.

Moved up | AMG Packaging moved up to $4.10 gaining $0.29, Barita gained 23 cents to close at 3.20, Blue Power moved up to $5.80 on a 30 cent move. National Commercial Bank gained 25 cents, and closed at $18.35, Paramount gained 20 cents to close at $3.20. Scotia group climbed 30 cents closing at $21.30.

Carreras slipped 40 cents to close at $55.40 and D&G 19 cents in closing at $4.11.

A total of 2,251,800 shares traded of which Cable & Wireless accounted for 1,196,164 units at a mere value of $7,396,967. Grace traded 50,375 units valued $2.77 million, Jamaican Teas traded 352,084 units valued at $1.4 million, Sagicor Life traded 74,470 units, valued at $566,676, Desnoes & Geddes traded 112,193 units valued at $461,113.

TTSEMay3+Grace is one of the eight stocks to close trading with a bid that is higher than the last selling price. It also closed the same way on the Trinidad market today and so has Carreras with a $56 bid versus the last sale at $55.60. Others with bids above the last sale price are Ciboney, Jamaica Producers, Lasco Distributors, Mayberry, Pan Jamaican, Scotia Investments.

TTSE | Slow market in T&T

In another day of slow trading on the Trinidad market, 6 securities traded. Two stocks advanced, 1 declined and 3 traded firm.

Sagicor Financial Corporation, the Barbados based company, accounted for the bulk of 165,679 shares traded in the market with a value of TT$1,715,841.10. The company traded 121,877 shares, valued at TT$841,051.30 and lost $0.09 to end the day at $6.90. Trinidad Cement traded a volume of 15,000 shares valued at TT$14,250. One Caribbean Media accounted for 15,000 shares with a value of TT$249,000, while Guardian Media saw 10,000 shares changing hands at a value of TT$197,500.

Clico Investment Fund enjoyed the day’s largest gain, increasing $0.12 to end the day at $21.12. Clico Investment Fund was the only active Mutual Fund, posting a volume of 299,358 shares valued at TT$6,322,506.10 as the price  advanced by $0.12 to end at $21.12.

The following stocks had bids that were higher than the last selling price. Ansa Merchant Bank, Berger, Grace Kennedy, Scotia Investments.

TTSEMay3+Real

ForEx Market | J$ continues appreciation

It took slightly less Jamaican dollars to buy a US dollar than it did yesterday, as the average selling price ended at J$99.26 in today’s trading. The appreciation comes against the back drop of the announced IMF agreement that was approved by the fund yesterday.

ForExSummaryMay3In yesterday’s trading, there were more selling of the currency than purchased by US$7.3 million. Today there was a US$6 million surplus of purchases over sales as purchases came in at US32.8 million while sales amounted to US$26.5 million. It also means that for the week-to-date, inflows into the market is almost equal with outflows. Last week the inflows and outflows were evenly matched.

The highest rates paid for US dollars in the market decreased somewhat according to the BOJ data. The highest buying rate fell to $99.40 and the highest selling was down to $104.22. The lowest selling rate was $82.66 and lowest buying $81.33.

ForExDEtailsMay3

Daily Trading 2 May 2013

JSE | Proven dominates

In a slow and uneventful day on the Jamaica Stock Exchange, Proven 8 percent preference shares almost dominated trading with 995,382 units trading at a value of $5 million, but that was not to be, as the ordinary shares did even better with 510,650 units switching hands at 11 US cents each with a value of US$56,171.50. Grace Kennedy, with $1.44 million coming from 26,858 shares, was the next most traded stock followed by Scotia Group with 28127 shares valued at $591,087, investors spent $524,777 on National Commercial Bank’s 28,933 units and Kingston Wharves traded 82,298 units valued at $493,788. NCB traded between $18.10 and $18.50 while it last traded at $18.10, Sagicor Life between $7.60 and $8 and closed at $7.60, Scotia Group closed at $21, but traded between $21 and $21.30, while Lasco Manufacturing traded between $10.50 and $10.70 at which it last traded.

JSEINdicesMay2Carreras gained 97 cents to close at $56 to be the largest price mover on the day. Desnoes & Geddes traded up 24 cents to close at $4.30 on 10,000 shares, Lasco Manufacturing closed at $10.70, slipped by 35 cents. Other prices changes were moderate. 7 stocks gained while 5 declined to maintain the positive advance to decline ratio for the week to date.

A stand-off between buyers and sellers continued on the local stock exchange today, as the market slowly claws its way back from this year’s low, reached when the government announced new budgetary measures to increase revenues and reduce interest cost. In the process, the all Jamaican composite index gained 465.66 points at the end of trading to end up at 82,489.34, the JSE index closed up 264.51 points at 83,813.92. The junior market slipped nearly 4 points to close at 623.90 on a day of slow trading when 856,224 ordinary shares valued at $9,104,725.61 traded. In addition there were 1.02 million preference shares trading valued at $51.47 million. This is a slight increase over Wednesday when 725,220 traded at $5.09.

Eight stocks closed the day with bids above last selling price. This is down from 9 on Wednesday.

TTSE | Higher prices on cards for T&T stocks

At the end of today’s trading, 7 stocks in the main market have no offers, while there are 5 stocks that have bids above the last selling price, indications that higher prices are ahead for this market where trading has been slow but with tight supplies.

Trading activity on the main market of the Trinidad & Tobago stock exchange was very low, with only 165,916 shares crossing the floor of the Exchange with a value of $4,549,069.45. Only 8 securities traded with Angostura Holdings increasing by climbing $0.39 to end the day at $9.50, 3 declined moderately and 4 traded firm. Neal & Massy Holdings was the volume leader with 70,650 shares for a value of $4,168,350, followed by Trinidad Cement with a volume of 55,000 shares traded for $52,250. First Caribbean International Bank contributed 29,381 shares with a value of $235,048, while Sagicor Financial Corporation traded 9,130 shares valued at $63,842.45.

Clico Investment Fund was the only active security on the Mutual Fund Market, posting a volume of 131,400 shares valued at $2,759,667.40 while declining by $0.01 to end at $21.00.

TTSEMay2

KREMI oversubscribed

When the public offer of Caribbean Cream Ltd (CCL) KREMI closed on Wednesday, it brought the total number of companies to raise funds using the Jamaica Stock Exchange’s junior market to seventeen (17).

Caribbean Cream Ltd (CCL) KREMI, seeking to list on the JSE Junior Market, closed on Wednesday morning, May 1, 2013 with applications amounting to more than 375. Word reaching ICInsider.com was that the level of oversubscription was not high. This means that the stock will struggle in early trading to hold the $1 price but ICInsider.com data suggest that earnings to be reported will beat a number of investors’ expectations when the annual results to February are released in a few weeks.

The Invitation for Subscription for 75,713,623 Ordinary Shares at J$1.00 opened on Thursday April 25, 2013 and was originally scheduled to close on closed May 10, 2013.

Stocks & Securities, the brokers to the deal, indicated that applicants (inclusive of Applicants for Reserved Shares) will be advised of the basis of allotment within three (3) business days in accordance with the Jamaica Stock Exchange Junior Market Rules.

The brokers also stated that the closing of the Invitation represents a landmark event for the company’s expansion as CCL recently signed a $13 million deal with Sandals Resorts International as the sole supplier of bulk ice cream to its Jamaican properties. CCL has also brokered a successful transaction with getting its products into Jewel Resorts.

CCL when it lists on the stock exchange later this month will bring the total listing on the junior market to 17 and will be the second since the start of 2013.

Talk Back | What were your reason for buying or not buying this IPO?

Daily Trading 1 May 2013

JSE | Highest since February

The stock market reached its highest level since February 11 when measured by the all Jamaica composite index as it crossed over the 82,000 level. In the case of the main market index, Wednesday’s level was the highest since mid-March. But on one of the more lackluster days, there was a mere $9,166,322 expended in trading, as advancing stocks just outnumbered declining ones by 8 to 7.

JSEINdicesMay1

Stock gaining | Stocks with any noticeable movements were, Berger Paints up 31 cents, to close at $2.26, a day after the company announced that the CEO Warren McDonald would be retiring shortly. Investors snapped up 33,112 of the company’s shares between $1.97 and $2.26. Carreras inched up 83 cents, to close at $55.03 with 17,078 units trading. Lasco Manufacturing climbed 90 cents to $11.05 with a mere 1,700 units trdingand Lasco Financial moved to a new 52 weeks high at $7.60 on moderate volume, Supreme Ventures gained back 10 cents it lost on Tuesday, to close at $2.60 with just 19,000 shares trading. General Accident gained 4 percent to close at $1.70 on the 184,887 shares that traded, between $1.65 and $1.70.

Stocks Losses | Consolidated Bakery, bakers of Purity and Miss Birdie brand of baked products, fell 40 cents to $1.20 with only 300 units sold, as interest in the stock fell away when the company released final year 2102 results that showed a sharp drop in profits, compared with 2011. The company had reported $3.7 million after tax profit compared to $12.8 million in 2011, before gain from disposal of shares. The stock looks set to fall some more unless the first quarter results, which are due in another two weeks, come out early and show positive growth in earnings that could change investor sentiment to the stock.

Stocks in demand | While levels of stocks trading on Wednesday was low, there were 9 companies stocks that had bids higher than their last selling prices, a bullish indicator. These companies include Blue Power, Desnoes & Geddes, Mayberry, Lasco Distributors, Sagicor Investments, Jamaica Producers, Pan Jamaican, Scotia Investments and KLE Group, a company that provides entertainment and restaurants services, that fell to $2.75 at the last traded price, well below the IPO price of $3.70.

TTSE | Witco Jumps to TT$100

West Indian Tobacco Company hit a record TT$100 in today’s trading on the TT Stock Exchange with the largest gain on the market as it increased $2.93 to end the day’s trading. At the end of 2012 the stock traded at $85. Scotia Bank gained 21 cents to land at $69.24 and is up from the December 2012 close of $65.51 while Sagicor Financial gained 14 cents and closed at $7. All three traded below 750 shares each.

A total of 400,834 shares crossed the floor of the Exchange with a value of $3,204,224.37 as 12 securities traded during the day with 6 advancing, 2 declining and 4 trading firm.

TTSEMay1

Angostura Holdings traded 233,615 shares to be the market leader, the value of the shares traded was $2,128,611.97 but the stock fell 39 cents to close $9.11, this was followed by Trinidad Cement with a volume of 137,331 shares valued $137,331.00. National Enterprises contributed 12,576 shares with a value of $196,185.60, while Republic Bank added 6,144 shares valued at $669,081.60.

Clico Investment Fund was the only active security on the Mutual Fund Market, posting a volume of 45,170 shares valued at $948,930.93 and advanced by $0.01 to end at $21.01. Fortress Caribbean Property Fund which last traded at $5.00 did not trade as did Praetorian Property Mutual Fund that last traded at $3.40. There was no activity in the Second Tier Market.

ForEx | J$ revaluation continues

ForExSummaryMay1The rate of exchange between the US and Jamaican dollars continued to inch down, even as the amount of US dollars sold in the system in the last two days exceed the amount purchased by authorized dealers. The average selling rate, fell to J$99.3286 from $99.3481 on Tuesday and $99.36 on Monday. Both the amount of funds purchased US$29.3 million by the dealers and that sold, US$36.6 fell on Wednesday by US$16 million on the buying side and US$18 million on sell side, compared to Tuesday’s trade. The rate of exchange has appreciated from a low of J$99.81 on April 12th.

Interestingly, the currency was sold between $104.27 to a low of $81.49 while the highest price paid for purchase was $99.70. On Tuesday sale took place between $104.27 to a low of $96.4 while the highest price paid for purchase was $99.50 to a low of $81.37.

Too early to say | While the Jamaican dollar has been slowly appreciating since last week, it is too early to say where it will end in the short term. The government announced on Wednesday that the IMF agreement was signed off by the IMF board and will release almost US$200 million for the central bank’s reserves. The amount is not large, but there are more flows that will be coming in during the year that could result in further appreciation of the local currency. Persons who bought FX for investment purposes could well be offloading some into the market if the daily rate shows signs of the currency appreciating for a number of days to come.

ForExDEtailsMay1

Treasury Bills | TBill rates climbed in April

BankofJamaicaBOJIn March, the average yield for the 90 days was 5.82488 percent but bids up to 6.24999% were successful as only $338.7 billion chased after the $400 million on offer. In April, things changed a lot with the average yield climbing nearly 86 basis points to average out at 6.68297 percent. This took place against the background of a 41 percent oversubscription coming against the fall in rates in March when there were less bids for the amount on offer. Allotment was made for successful bids between a low of 5.15 percent and a high of 7.1 percent per annum.

The six issues fared better as average yield climbed a bit moving up to 6.389 percent compared to what the six months bill yielded in March when the yield came out at an average of 6.22345 percent per annum. But while in March the range was 5.50% to 6.65310, only $196 million went after the $400 million on offer, The April auction had 708 million seeking to capture some of the $400 million offer but bidders were successful in garnering between 5.4 percent and 6.65 percent for this instrument. In March, a 30 day treasury bill was oversubscribed by $58 million with yields between 4.5 percent & 6.1 percent.

Daily Trading 30 April 2013

JSE | Lasco Companies dominate Tuesday’s trade

The Jamaican stock market index climbed today with the JSE market index closing up 436.63 points to end trading at 83,476.38. The all Jamaica composited closed at 81,895.10 up 768.89 points and JSE combined gained 379.09 points closing the day at 84,917.24. The junior market index slipped 8.47 points dragging the overall junior market down to 617.18.  The overall market traded 7,166,418 units valued at $65,136,584.80.

Winners | Price movements were a little more pronounced that in recent trading sessions with JMMB jumping $0.86 to close at $8 as the stock traded 48,510 units, at close the bid was not strong at $7.10. Scotia Group recovered from yesterdays fall in putting on 50 cents to close at $21. Grace Kennedy having gained new life with Grace’s announcement to buy shares in the market rose yet again to close at $55.02 up 47 cents for the day on top of the gain on Monday.

Losers | Seprod shed 44 cents with a mere 769 units trading to close at $14.56, Supreme Ventures shed another 9 cents today to land it at $2.50 having traded at $2.75 on Friday last. Sagicor Life fell by 49 cents to close at $7.70 with 35,261 units trading on the day.

 JSEINdicesApr30

Kingston Wharves traded at $6 gaining 10 cents during the day, a twelve months high. The shares are tightly held and there is clearly upward pressure on the price, which seems likely to go higher. Barita lost 28 cents to close at $2.97 with 5,000 shares changing hands.

Junior market | Lasco Distributors with 1,597,000 shares trading at a value of $15.3 million changed hands today between $9.55 and $10.01 the stock closed down 41 cents at $9.59 and Lasco Manufacturing traded 4,512,900 units valued at $46.6 million between $10.10 and $11.05 closing the day at $10.15 own

The Lasco Manufacturing block was sold by Stocks & Securities with Mayberry picking up 1,009,100 units, NCB capita markets buying 3.167 million units, JMMB taking 146,833 units and 141,000 being crossed by Stocks & Securities. Stocks & Securities was the major seller of Lasco Distributors and NCB Capital markets the main buyer.

Bids above last sales | The following stocks had bids above their closing prices: this is usually an indication that prices will rise. These include Berger Paints, Carreras, Desnoes & Geddes, Ciboney, Jamaica Producers, Mayberry, Sagicor Investments and Scotia Investments.

TTSE | Cement continues domination

Cement continues domination on the TTSE when the Cement Group traded 967,380 shares with a value of TT$967,380.

Market activity saw trading in 14 securities of which 8 advanced, 2 declined and 4 traded firm while the total volume of shares traded was 1,028,095 valued at TT$2,075,106.23.

TTSEApr30

Trinidad Cement was followed by Angostura Holdings with a volume of 26,000 shares, valued at TT$247,000. National Enterprises Limited contributed 24,718 shares with a value of TT$385,506.58, while Republic Bank contributed 3,121 shares to the total, valued at TT$339,898.61.

Angostura Holdings was the day’s largest gainer, increasing $0.50 to end the day at $9.50 while Ansa Merchant Bank,  suffered the day’s greatest loss, falling $1.50 to close at $38.50.

Clico Investment Fund was the only active security on the Mutual Fund Market, posting a volume of 145,943 shares valued at $3,064,985.90. Clico Investment Fund declined by $0.19 to end at $21.00. FORTRESS CARIBBEAN PROPERTY FUND remained at $5.00. Praetorian Property Mutual Fund remained at $3.40.

The Second Tier Market did not witness any activity. Fncu Venture Capital Company (Suspended) remained at $1.00. Mora Ven Holdings remained at $14.97.

ForEx Trading | Summary

ForExSummaryApr30

Foreign exchange trading jumped today as Central Bank data shows US$45.3 million US dollars being bought by authorized dealers while they sold nearly $55 million. The average selling rate was J$99.348 almost the same as on Monday when the rate was J$99.36. Last week Tuesday buying was under $40 million while sales were just above it. On Monday, trading amounted to the equivalent of US$42.6 million of purchases, while US$34.75million was sold.

ForExDEtailsApr30