Trading on Friday in the foreign exchange market saw buoyant flows to end off the week as inflows were more than the amount sold by dealers and resulted in slight appreciation of the Jamaican dollar. The purchase of all currencies by dealers amounted to the equivalent of US$46,758,067 compared with US$34,195,247, on Thursday and selling, the equivalent of US$40,993,978 versus sale of US$65,454,392, previously.
In US dollar trading, dealers bought US$44,452,045 compared to US$30,929,977 on Thursday. The buying rate for the US dollar rose 9 cents to $115.78 and US$39,857,108 was sold versus US$64,242,043 on Thursday, the selling rate declined by 2 cents to $116.10. The Canadian dollar buying rate rose 28 cents to $92.60 with dealers buying C$760,341 and selling C$523,539, at an average rate that fell 25 cents to $94.97. 
The rate for buying the British Pound fell $1.60 to $178.01 for the purchase of £1,001,924, while £370,134, was sold, at an average rate that slipped 5 cents to $180.78. At the end of trading it took J$129.15 to purchase the Euro, 23 cents more than on Thursday, according to data from Bank of Jamaica, while dealers purchased the European common currency at J$126.74 for a rise of 19 cents on Thursday’s rate. Other currencies bought, amounted to the equivalent of US$157,447, while the equivalent of US$132,292, was sold.
Highs & Lows| The highest buying rate for the US dollar, fell 4 cents to $116.31. 
The lowest buying, the highest and the lowest selling rates were unchanged at $94.98, $121.71 and $94.98 respectively. The highest buying rate for the Canadian dollar rose 70 cents to $95.80. The lowest buying rate fell 4 cents at $75.32, the highest selling rate gained $1.54 to $98.70 and the lowest selling rate fell 5 cents to $90.75. The highest buying rate for the British Pound, rose 61 cents to $182.51, the lowest buying rate closed unchanged at $144.63, the highest selling rate fell 50 cents to $185.02 with the lowest selling rate remained unchanged at $174.25.
J$ makes gains on Friday
FX demand rises J$ falters Wednesday
Demand for foreign currency climbed on Wednesday with US$43 million being purchased by the public and resulted in a slight decline for the Jamaican dollar against all the three main currencies the Jamaican dollar usually trades against. The purchase of all currencies by dealers amounted to the equivalent of US$40,851,340 compared with US$25,499,013, on Tuesday and selling, the equivalent of US$44,427,944 versus sale of US$29,260,764, previously.
In US dollar trading, dealers bought US$38,957,982 compared to US$24,763,312 on Tuesday. The buying rate for the US dollar rose 18 cents to $115.72 and US$42,974,812 was sold versus US$23,550,793 on Tuesday, the selling rate increased by 3 cents to $116.11. The Canadian dollar buying rate declined 88 cents to $92.36 with dealers buying C$466,971 and selling C$524,583, at an average rate that rose 38 cents to $95.25. 
The rate for buying the British Pound fell 59 cents to $177.87 for the purchase of £931,844, while £623,692, was sold, at an average rate that rose 5 cents to $179.87. At the end of trading it took J$129.17 to purchase the Euro, $2.78 less than on Tuesday, according to data from Bank of Jamaica, while dealers purchased the European common currency at J$126.64 for a fall of $3 on Tuesday’s rate. Other currencies bought, amounted to the equivalent of US$88,288, while the equivalent of US$56,655, was sold.
Highs & Lows| The highest buying rate for the US dollar, rose 8 cents to $116.30. The lowest buying, the highest and the lowest selling rates were unchanged at $94.98, $121.71 and $94.77 respectively. 
The highest buying rate for the Canadian dollar fell 50 cents to $94.80. The lowest buying rate was down 67 cents to $75.36, the highest selling rate slipped $1.10 to $98 and the lowest selling rate rose 70 cents to $92. The highest buying rate for the British Pound, declined $1.50 to $180.30, the lowest buying rate dropped $1.45 to $144.63, the highest selling rate climbed $2.30 to $186.45 with the lowest selling rate being unchanged at $175.50.
Interest rates slip slightly
The lastest issue of Treasury bills saw a slight slippage in the rates investors will be getting from the government over the next three to six months.
The 6 months issue of Treasury bills maturing in November this year attracted $656.586 million and yielding an average of 6.714 percent, compared with 6.787 percent in April. The the 3 months’ bills are yeilding 6.568 percent versus 6.61 percent in April, the latter auction attracted bids of $655,977,500. Both issues offered bills of $400 million each.
Rates have been sliding on Treasury bills since March last year, there was a slight uptick in the rate out turn at the February auction. The pace of decline of the rates seems to have slowed, in this auction compared with earlier declines. Bank of Jamaica will probably have to lower CD rates to induce a faster decline with inflation for the year still subdued.
BOJ may ease monetary policy
Bank of Jamaica may ease monetary policy in the context of a slower rate of depreciation of the Jamaican dollar, the precipitous fall in oil prices and with inflation expectations fallen sharply.
The bank stated that notwithstanding the sharp fall in inflation, expectations by the business community were above the inflation outturn at end-March 2015, as well as the Bank’s projections for the near-term. The bank went on to state that with the downward adjustment in inflation expectation, in conjunction with favourable developments in the macro financial environment, will allow the Bank to pursue an even more accommodative stance than they have done so far. Notably, developments in the international economy including a faster than projected reversal of oil prices and the timing of tightening of monetary policy in advanced economies will increasingly influence the direction of domestic monetary policy.
“For the March quarter, the Bank’s monetary policy stance remained generally accommodative while being consistent with achieving the monetary targets under the Extended Fund Facility (EFF) supported programme”, the governor reported. In particular, the Bank purchased net amounts of foreign exchange from the market and introduced a 3-month lending facility (Occasional Term Repo Operation), which enhanced liquidity assurance. In the context of the outturns for these
Macro-economic variables and the outlook for inflation over the near-term, the Bank lowered its policy rate by 25 bps to 5.50 per cent on 17 April 2015. This policy action was also consistent with declines in inflation expectations and the country’s risk premium.
Growth of possible 1% in Q1
Real growth in the Jamaican economy (GDP) is estimated to have increased in the March 2015 quarter between 0.0 to 1.0 percent, following two consecutive quarters of contraction, Bank of Jamaica’s governor, Brian Wynter disclosed at the bank’s quarterly press briefing today.
The estimated outturn for the quarter mainly reflected increases in tourism activity, domestic agriculture and Transport, Storage & Communication.
For Fiscal year 2015/16, real GDP is forecasted to expand between 1.0 to 2.0 percent. Agriculture, Forestry & Fishing, Hotels & Restaurants and Transport,
Agriculture is expected to contribute in Jamaica’s growth in the second quarter
Rally maybe going on holiday
Jamaica Broilers closed at a new 52 weeks high on Tuesday
By the end of trading, the market gave up all the gains and much more as the market continues to struggle to move away from the resistance level which it crossed over recently. The JSE Market Index lost 939.55 points to 98,348.41, the JSE All Jamaican Composite index fell 1,050.45 points to 108,676.39 and the JSE combined index dropped 1,010.08 points to close at 100,729.99.
Activity, resulted in the prices of 10 stocks rising, 12 declining as 35 securities changed hands, ending in 9,192,775 units trading, valued at $92,864,773, in all market segments. Only three new highs were recorded in the overall market, with Jamaica Broilers ended at $5.49 and Jamaica Stock Exchange at $3.55 as new 52 weeks closing highs in the main market.
IC bid-offer Indicator| At the end of trading, in the main and junior markets, the Investor’s Choice bid-offer indicator shows 10 stocks with bids higher than their last selling prices and 3 with offers that are lower.In trading, Berger Paints as it traded at $2.55 with 14,650 shares, but there is a strong bid at $2.55 to buy 123,873 shares. Cable & Wireless had 306,000 shares trading at 47 cents, Caribbean Cement traded 292,100 units to close at $5, Carreras traded 211,982 shares to close at $49, Gleaner posted 322,432 units to end at $1, Grace Kennedy gained 5 cents to close at $63.55 with 45,627 units, the stock traded at $65 during the trading session. Jamaica Stock Exchange put through 83,000 units and ended at $3.55, JMMB Group lost 51 cents in trading 219,760 shares at $9.49, at the close. National Commercial Bank had 113,179 units trading between $29.50 and $30.20, the closing price, as 20 cents was added.
Sagicor Group traded down to $11 during the day but ended up with a decline of 1 cent at $11.99, at the end with 5,150,556 shares, changing hands. Mayberry sold more than 3.5 million units mostly at $11 from their inventory and Sagicor Investments was another major buying and selling broker of the stock. Scotia Group put on 70 cents to $26 with 8,794 units trading, Seprod had 136,611 units changing hands at $18.50, and Supreme Ventures traded 116,465 shares between $3.89 and $3.95 but ended at $3.90 and Proven Investments slipped by half of a cent in trading 61,517 units at 20.5 US cents.
J$ gains as demand falls
Demand for foreign currency declined on Tuesday with only US$25.5 million being purchased by the public. The large trades on Monday seemed to have satisfied end users and resulted in a slight gain for the Jamaican dollar against all the three main currencies. The purchase of all currencies by dealers amounted to the equivalent of US$25,499,013 compared with US$81,922,835, on Monday and selling of the equivalent of US$29,260,764 versus sale of US$75,530,417, previously.
In US dollar trading, dealers bought US$24,763,312 compared to US$79,149,402 on Monday. The buying rate for the US dollar fell 28 cents to $115.54 and US$23,550,793 was sold versus US$73,608,891 on Monday, the selling rate declined by 2 cents to $116.08. The Canadian dollar buying rate rose 7 cents to $93.24 with dealers buying C$965,604 and selling C$513,384, at an average rate that declined $1.59 to $94.87. 
The rate for buying the British Pound fell 40 cents to $178.46 for the purchase of £2,342,104, while £870,233, was sold, at an average rate that slipped $2.38 to $179.82. At the end of trading it took J$131.94 to purchase the Euro, 89 cents less than on Monday, according to data from Bank of Jamaica, while dealers purchased the European common currency at J$129.65 for an fall of 60 cents on Monday’s rate. Other currencies bought, amounted to the equivalent of US$100,864, while the equivalent of US$180,509, was sold.
Highs & Lows| The highest buying rate for the US dollar, rose 6 cents to $116.22. The lowest buying rate jumped $2.68 to $94.98, the highest selling rate remained unchanged at $121.71, while the lowest selling rate fell 21 cents to $94.77. 
The highest buying rate for the Canadian dollar fell $1 to $95.30. The lowest buying rate was down 37 cents to $76.03, the highest selling rate slipped 14 cents to $99.10 and the lowest selling rate fell 75 cents to $91.30. The highest buying rate for the British Pound, declined 70 cents to $181.80, the lowest buying rate dropped 62 cents to $146.08, the highest selling rate dived $4.97 to $184.15 with the lowest selling rate gaining $1.20 at $175.50.
J$ stable vs US Monday
On Monday, the Jamaican dollar held firm against the US dollar, gained on the British pound and the Canadian dollar, as purchases of all currencies by dealers amounted to the equivalent of US$81,922,835 compared with US$29,862,314, on Friday and selling of the equivalent of US$75,530,417 versus sale of US$29,000,152, previously.
In US dollar trading, dealers bought US$79,149,402 compared to US$26,604,631 on Friday. The buying rate for the US dollar rose 25 cents to $115.82 and US$73,608,891 was sold versus US$27,054,347 on Friday, the selling rate was unchanged at $116.10.
The Canadian dollar buying rate slipped $1.43 to $93.17 with dealers buying C$979,814 and selling C$901,592, at an average rate that declined 15 cents to $96.46. The rate for buying the British Pound fell $1.67 to $178.86 for the purchase of £1,199,567, while £653,972, was sold, at an average rate that slipped 35 cents to $182.20. At the end of trading it took J$132.83 to purchase the Euro, 78 cents more than on Friday, according to data from Bank of Jamaica, while dealers purchased the European common currency at J$130.25 for an increase of 81 cents on Friday’s rate. Other currencies bought, amounted to the equivalent of US$132,792, while the equivalent of US$146,183, was sold.
Highs & Lows| The highest buying rate for the US dollar, declined 34 cents to $116.16. The lowest buying rate declined $2.47 to $92.30, 
the highest selling rate rose 27 cents to $121.71, while the lowest selling rate rose 21 cents to $94.98. The highest buying rate for the Canadian dollar fell $1.20 to $96.30. The lowest buying rate was down 58 cents to $76.40, the highest selling rate remained at $99.24 and the lowest selling rate fell 70 cents to $92.05. The highest buying rate for the British Pound, declined 75 cents to $182.50, the lowest buying rate gained 20 cents to $146.70, the highest selling rate climbed $3.58 to $189.12 with the lowest selling rate remaining at $174.30.
J$ slips against US & Pound Friday
On Friday, the Jamaican dollar slipped against the US dollar and British pound and gained against the Canadian dollar, as purchases of all currencies by dealers amounted to the equivalent of US$29,862,314 compared with US$32,964,911, on Thursday and selling of the equivalent of US$29,000,152 versus sale of US$27,642,328, previously.
In US dollar trading, dealers bought US$26,604,631 compared to US$28,792,177 on Thursday. The buying rate for the US dollar rose 10 cents to $115.57 and US$27,054,347 was sold versus US$26,502,659 on Thursday, the selling rate was up 7 cents to $116.10. The Canadian dollar buying rate slipped 9 cents to $94.60 with dealers buying C$1,106,157 and selling C$550,926, at an average rate that declined 67 cents to $96.61. The rate for buying the British Pound jumped $2.45 to $180.53 for the purchase of £1,449,736, while £860,481, was sold, at an average rate that rose 67 cents to $182.55. 
At the end of trading it took J$132.05 to purchase the Euro, 39 cents more than on Thursday, according to data from Bank of Jamaica, while dealers purchased the European common currency at J$129.43 for an increase of 37 cents on Thursday’s rate. Other currencies bought, amounted to the equivalent of US$87,807, while the equivalent of US$134,455, was sold.
Highs & Lows| The highest buying rate for the US dollar, rose 19 cents to $116.50. The lowest buying, the highest and the lowest selling rates were unchanged at $94.77, $121.44 and $94.77 respectively.
The highest buying rate for the Canadian dollar rose 55 cents to $97.50. The lowest buying rate was up 20 cents to $76.98, the highest selling rate rose just 12 cents to $99.24 and the lowest selling rate gained $1.75 to $92.75. The highest buying rate for the British Pound, rose 60 cents to $183.25, the lowest buying rate gained 42 cents to $146.50, the highest selling rate fell 94 cents to $185.54 with the lowest selling rate rising 74 cents to $174.30.
J$ slips against all on Thursday
On Thursday, the Jamaican dollar slipped against the US dollar, British pound and Canadian dollar, as purchases of all currencies by dealers amounted to the equivalent of US$32,964,911 compared with US$29,494,214, on Wednesday and selling of the equivalent of US$27,642,328 versus sale of US$33,928,300, previously.
In US dollar trading, dealers bought US$28,792,177 compared to US$27,139,403 on Wednesday. The buying rate for the US dollar rose 5 cents to $115.47 and US$26,502,659 was sold versus US$31,570,143 on Wednesday, the selling rate was up 6 cents to $116.03. The Canadian dollar buying rate climbed 42 cents to $94.69 with dealers buying C$1,327,786 and selling C$713,715, at an average rate that rose 37 cents to $97.28. The rate for buying the British Pound fell 95 cents to $179.08 for the purchase of £1,915,229, while £310,883, was sold, at an average rate that rose 75 cents to $181.88. 
At the end of trading it took J$131.66 to purchase the Euro, $1.29 more than on Wednesday, according to data from Bank of Jamaica, while dealers purchased the European common currency at J$129.06 for an increase of $1.15 on Wednesday’s rate. Other currencies bought, amounted to the equivalent of US$130,163, while the equivalent of US$53,985, was sold.
Highs & Lows| The highest buying rate for the US dollar, rose 6 cents to $116.31. The lowest buying rate was unchanged at $94.77 and highest selling rate fell $4.46 to $121.44, while the lowest selling rate dropped $18.53 to $94.77 The highest buying rate for the Canadian dollar slipped 10 cents to $96.95. 
The lowest buying rate was up 42 cents to $76.78, the highest selling rate rose just 5 cents to $99.12 and the lowest selling rate declined by $1 to $91. The highest buying rate for the British Pound, rose 5 cents to $182.65, the lowest buying rate gained 33 cents to $146.08, the highest selling rate fell $1.41 to $186.48 with the lowest selling rate falling 44 cents to $173.56.
