The volume of foreign exchange purchased by dealers on Wednesday, was just US$1.4 million less than on Tuesday, but selling was well down. The Jamaican dollar loss value slightly, against the US dollar and the British Pound, but gained against the Canadian dollar, in Wednesday’s forex trading.
Authorized dealers purchased the equivalent of US$35,555,039 versus US$36,918,551, on Tuesday. The equivalent of US$31,228,226 was sold, compared with US$42,227,009 on Tuesday.
In US dollar trading, dealers bought US$29,154,363 compared to US$34,350,001 on Tuesday. The buying rate for the US dollar slipped 8 cents to $112.16 and US$27,180,996 was sold versus US$35,584,175 on Tuesday, the selling rate rose 3 cents to $112.62. The Canadian dollar buying rate, rose 41 cents to $98.46 with dealers buying C$1,729,970 and selling C$1,095,703, at an average selling rate that dropped $1.72, to $99.67. The rate for buying the British Pound climbed $1.54 to $178.70, for the purchase of £2,202,473, while £1,074,042 was sold, at $179.93, up 6 cents. Other currencies bought, amounted to the equivalent of US$1,372,867, while selling was for the equivalent of US$1,361,555.
Highs & Lows| The highest buying rate for the US dollar, closed $1.21 higher, at $113.95, the lowest buying, the highest and the lowest selling rates, were unchanged at $91.85, $117.70 and $91.85 respectively. The highest buying rate for the Canadian dollar fell 2 cents to $100.28, the lowest buying rate declined 25 cents to $79.51 and highest selling rate rose $1.17 to $104. The lowest selling rate fell $1 to $95.10. The highest buying rate for the British Pound, fell 67 cents to $180.33, the lowest buying, was up $1.94 to $146.53, the highest selling rate fell $3.17 to $183.22 and the lowest selling rate dropped $1.20 to $173.
Jamaican$ fairly stable on Wednesday
Forex flows improved on Tuesday
The volume of foreign exchange trading in market on Tuesday climbed above the levels on Monday, with total inflows of foreign currency falling short of the amount sold. The Jamaican dollar gained slightly against the US dollar and the British Pound, but slipped against the Canadian dollar, in Tuesday’s forex trading.
Authorized dealers purchased the equivalent of US$36,918,551 versus US$28,048,552 on Monday. The equivalent of US$42,227,009 was sold, compared with US$27,425,753 on Monday.
In US dollar trading, dealers bought US$34,350,001 compared to US$21,894,747 on Monday. The buying rate for the US dollar was up 24 cents to $112.24 and US$35,584,175 was sold versus US$24,610,116 on Monday, the selling rate fell 6 cents at $112.59. The Canadian dollar buying rate, rose 34 cents to $98.05 with dealers buying C$955,435 and selling C$5,456,274, at an average selling rate that climbed 59 cents, to $101.39. The rate for buying the British Pound is declined $2.12 to $177.16, for the purchase of £1,016,454, while £861,905 was sold, at $179.87, down 67 cents. Other currencies bought, amounted to the equivalent of US$129,403, while selling was for the equivalent of US$352,422.
Highs & Lows| The highest buying rate for the US dollar, closed 26 cents lower, at $112.74, the lowest buying, the highest and the lowest selling rates, were unchanged at $91.85, $117.70 and $91.85 respectively. The highest buying rate for the Canadian dollar rose 10 cents to $100.30, the lowest buying and lowest selling rates remained unchanged at $79.76 and $96.10 respectively. The highest selling rate fell 64 cents to $102.83. The highest buying rate for the British Pound, rose 30 cents to $181, the lowest buying, the highest selling and the lowest selling rates were unchanged at $144.59, $186.39 and $174.20 respectively.
Quiet FX trading starts the week
The foreign exchange market started the week quietly with total inflows of foreign currency just exceeding the amount sold. Although the amount of US dollars sold exceeded the amount bought by dealers.
The Jamaican dollar gained slightly against the US dollar and the British Pound but slipped against the Canadian dollar, in Monday’s forex trading. Authorized dealers purchased the equivalent of US$28,048,552 versus US$49,065,272 on Friday. The equivalent of US$27,425,753 was sold, compared with US$60,366,852 on Friday.
In US dollar trading, dealers bought US$21,894,747 compared to US$43,058,325 on Friday. The buying rate for the US dollar was down 29 cents to $112 and US$24,610,116 was sold versus US$56,237,305 on Friday, the selling rate remained at $112.65. The Canadian dollar buying rate, declined $1.79 to $97.71 with dealers buying C$1,149,363 and selling C$665,092, at an average selling rate that climbed 32 cents, to $100.81. The rate for buying the British Pound is up 6 cents to $179.28, for the purchase of £3,095,809, while £1,322,505 was sold, at $180.55, down 15 cents. Other currencies bought, amounted to the equivalent of US$195,275, while selling was for the equivalent of US$100,790.
Highs & Lows| The highest buying rate for the US dollar, closed 25 cents higher, at $113, the lowest buying, the highest selling and the lowest selling rates, were unchanged at $91.85, $117.70 and $91.85 respectively. The highest buying rate for the Canadian dollar fell 80 cents to $100.20, the lowest buying rate lost 50 cents to $79.76, the highest selling rate fell 7 cents to $103.47. The lowest selling rate closed down 10 cents to $96.10. The highest buying rate for the British Pound, dropped $1.30 to $180.70, the lowest buying rate fell 37 cents to $144.59. The highest selling rate, rose 74 cents to $186.39 and the lowest selling rate declined $1.60 to $174.20.
JSE dips but more stocks rose than fell
Monday’s activity on the Jamaica Stock Exchange, resulted in the prices of 7 stocks rising and 6 declining as 22 securities changed hands, culminating in 1,554,769 units trading, valued at only $5,881,456, in all market segments.
Main Market| The JSE Market Index fell 463.89 points to 72,211.86 and the JSE All Jamaican Composite index declined 518.69 points to close at 79,454.19.
IC bid-offer Indicator| At the end of trading, in the main and junior markets, the Investor’s Choice bid-offer indicator showed 6 stocks with bids higher than their last selling prices and 7 stocks with offers that were lower.
Gains| Stocks gaining with last traded prices, at the end of trading in the main market are, Desnoes & Geddes with 15,000 shares trading, closed 9 cents higher at $4.79, Grace Kennedy had only 500 shares changing hands and closed 50 cents higher to $59, National Commercial Bank had 100,468 shares trading with a gain of 10 cents at $17.80, Sagicor Group with 43,824 shares changing hands, 3 cents higher at $9.55 and Sagicor Real Estate Fund had 4,155 shares traded with a gain of 40 cents to $7.
Firm| The stocks in the main market to close without a change in the last traded prices are, Ciboney with 334,000 shares at 7 cents, Jamaica Broilers with 25,897 units closed at $4, Jamaica Money Market Brokers 47,314 ordinary share closed at $7.01, Jamaica Producers had 26,228 units trading at $15.50, Pan Jamaican Investment with 2,500 shares ended at $49, Seprod put through 5,955 units to close at $10.90 and Sterling Investments, a the stock exchange latest listing had 10,075 units trading at $134.
Declines| The last traded prices of stocks with losses at the end of trading in the main market are, Berger Paints had 21,140 trading at $1.60, down 6 cents, Cable & Wireless with 429,210 shares, lost a cent at 29 cents, Caribbean Cement with 80,648 shares fell 25 cents to $2.11 and Scotia Group traded 3,000 shares with the loss of 96 cents to end at $19.04.
BNS & NCB in grand US$ sell off on Friday
Authorized Dealers sold much more foreign currency that they bought on Friday. Bank of Nova Scotia (BNS) and National Commercial Bank (NCB) were big net sellers of the US dollar, the second consecutive day of a big net sell off by dealers. BNS was the largest net seller, with US$4.58 million bought to US$15.26 million sold, followed by NCB buying US$4.13 million and selling US$12.6 million. On Thursday BNS bought US$7.33 million and sold US$14.23 million while National Commercial Bank, was buying US$2.67 million and selling US$5.54 million.
The Jamaican dollar slipped slightly against the US dollar, but appreciated against the Pound and the Canadian dollar, in Friday’s forex trading. Authorized dealers purchased the equivalent of US$49,065,272 versus US$27,673,332 on Thursday. The equivalent of US$60,366,852 was sold, compared with US$42,183,198 on Thursday.
In US dollar trading, dealers bought US$43,058,325 compared to US$25,657,012 on Thursday. The buying rate for the US dollar was up 6 cents to $112.29 and US$56,237,305 was sold versus US$40,190,794 on Thursday, the selling rate rose 3 cents to $112.65. The Canadian dollar buying rate, climbed 53 cents to $99.51 with dealers buying C$2,347,380 and selling C$2,099,384 at an average selling rate that declined 63 cents, to $100.49. The rate for buying the British Pound is up by 82 cents to $179.22, for the purchase of £1,814,232, while £918,229 was sold, at $180.70, down 73 cents. Other currencies bought, amounted to the equivalent of US$1,031,148, while selling was for the equivalent of US$783,955.
Highs & Lows| The highest buying rate for the US dollar, closed 10 cents lower, at $112.75, the lowest buying and the highest selling rates, were unchanged at $91.85 and $117.70 respectively, the lowest selling rate dropped $2.18 to $91.85. The highest buying rate for the Canadian dollar remained at $101, the lowest buying rate rose 83 cents to $80.26, the highest selling rate fell 46 cents to $103.54. The lowest selling rate closed down 10 cents to $96.20. The highest buying rate for the British Pound, increased by 55 cents to $182, the lowest buying rate was unchanged at $144.96. The highest selling rate, dropped $1.23 to $185.65 and the lowest selling rate rose $1.15 to $175.80.
Most banks offload US dollars on Thursday
Seven of the ten Authorized Dealers were net sellers of US dollars on Thursday. Bank of Nova Scotia was the largest net seller, with US$7.33 million bought, to US$14.23 million sold, followed by National Commercial Bank, buying US$2.67 million and selling US$5.54 million.
The Jamaican dollar was steady against the US dollar, but declined against the Pound and the Canadian dollar, in Thursday’s forex trading. Selling of foreign currency to the public, was more than dealers purchased. Authorized dealers purchased the equivalent of US$27,673,332 versus US$33,495,564 on Wednesday. The equivalent of US$42,183,198 was sold, compared with US$34,385,274 on Wednesday. 
In US dollar trading, dealers bought US$25,657,012 compared to US$27,894,689 on Wednesday. The buying rate for the US dollar was up 4 cents to $112.23 and US$40,190,794 was sold versus US$30,711,153 on Wednesday, the selling rate remained at $112.62. The Canadian dollar buying rate, declined 58 cents to $98.98 with dealers buying C$920,445 and selling C$556,969 at an average selling rate that climbed 70 cents, to $101.12. The rate for buying the British Pound fell 95 cents to $178.40, for the purchase of £678,302, while £638,797 was sold, at $181.43, up by 72 cents. Other currencies bought, amounted to the equivalent of US$126,298, while selling was for the equivalent of US$463,163.
Highs & Lows| The highest buying rate for the US dollar, closed 10 cents higher, at $112.85, the lowest buying and the highest selling rates, were unchanged at $91.85 and $117.70 respectively, the lowest selling rate dropped $16.47 to $94.03. 
The highest buying rate for the Canadian dollar climbed 50 cents to $101, the lowest buying rate was unchanged at $79.43, the highest selling rate rose $1.28 to $104. The lowest selling rate closed down 70 cents to $96.30. The highest buying rate for the British Pound, increased by 70 cents to $181.45, the lowest buying rate was up 95 cents, to $144.96. The highest selling rate, jumped $2.01 to $186.88 and the lowest selling rate declined $1.15 to $174.65.
Buying & selling match up
The Jamaican dollar lost a cent against the US dollar and 47 cents versus the Pound, in Wednesday’s forex trading, as selling of foreign currency to the public, was slightly more than dealers purchased. Authorized dealers purchased the equivalent of US$33,495,564 versus US$36,902,410 on Tuesday. The equivalent of US$34,385,274 was sold compared with US$48,450,336 on Tuesday.
In US dollar trading, dealers bought US$27,894,689 compared to US$29,102,213 on Tuesday. The buying rate for the US dollar fell 6 cents to $112.19 and US$30,711,153 was sold versus US$42,208,347 on Tuesday, the selling rate inched up 1 cent to $112.62. The Canadian dollar buying rate, declined 57 cents to $99.56 with dealers buying C$2,261,250 and selling C$1,760,293 at an average selling rate that eased 1 cent, to $100.42. The rate for buying the British Pound is up 70 cents to $179.35, for the purchase of £1,560,398, while £871,242 was sold, at $180.71, climbing 47 cents. Other currencies bought, amounted to the equivalent of US$1,099,775, while selling was for the equivalent of US$706,539.
Highs & Lows| The highest buying rate for the US dollar, closed 5 cents down, at $112.75, the lowest buying and the highest selling rates, were unchanged at $91.85 and $117.70 respectively, the lowest selling rate climbed $18.65 to $110.50. The highest buying rate for the Canadian dollar fell 25 cents to $100.50, the lowest buying rate rose 16 cents to $79.43, the highest selling rate declined 28 cents to $102.72. The lowest selling rate closed up $1.50, to $97. The highest buying rate for the British Pound, dropped 25 cents to $180.75, the lowest buying rate was up 9 cents, to $144.01. The highest selling rate declined 67 cents to $184.87 and the lowest selling rate, jumped $2.40 to $175.80.
Its BNS big sell off day as J$ revalues more
The Jamaican dollar continues to make slow gains against the US dollar, in Tuesday’s forex trading. Bank of Nova Scotia bought US$6,068,907 at $112.43 each but sold US$13,995,762 at $112.65 to be the largest seller on Tuesday. At the close of the market, there was selling of US$11.5 million more foreign currency, to the public than was bought by dealers. Authorized dealers purchased the equivalent of US$36,902,410 versus US$45,684,367 on Monday. The equivalent of US$48,450,336 was sold compared with US$41,145,809 on Monday.
The selling rate for the local currency to buy one US dollar, settled at $112.61, a slight improvement over the closing price on Monday. The local currency not only gained against the US dollar but also against the Canadian dollar, but fell against the Pound.
In US dollar trading, dealers bought US$29,102,213 compared to US$38,512,175 on Monday. The buying rate for the US dollar rose 5 cents to $112.25 and US$42,208,347 was sold versus US$36,824,756 on Monday, the selling rate inched down 1 cent to $112.61. The Canadian dollar buying rate, rose $1.10 to $100.13 with dealers buying C$5,720,004 and selling C$4,314,882 at an average selling rate that eased 2 cents, to $100.43. The rate for buying the British Pound is down 84 cents to $178.65, for the purchase of £1,633,650, while £1,391,145 was sold, at $180.24, climbing 50 cents. Other currencies bought, amounted to the equivalent of US$98,223, while selling was for the equivalent of US$166,795.
Highs & Lows| The highest buying rate for the US dollar, closed 3 cents down at $112.80, the lowest buying, the highest and the lowest selling rates, were unchanged at $91.85, $117.70 and $91.85 respectively. The highest buying rate for the Canadian dollar rose 20 cents to $100.75, the lowest buying rate remained at $79.27, the highest selling rate declined 10 cents to $103. The lowest selling rate closed unchanged at $95.50. The highest buying rate for the British Pound, dropped 43 cents to $181, the lowest buying rate did not move from $143.92. The highest selling rate dropped $2.24 to $185.54 and the lowest selling rate was unperturbed at $173.40.
J$ revaluation continues
The Jamaican dollar continues to make slow gains against the US dollar, having peaked at $112.87, on July 25. The selling rate for the local currency to buy one US dollar, is now at $112.62 an improvement over the closing price on Friday. The local currency not only gained against the US dollar, but also against the Pound and the Canadian dollar.
In Monday’s forex trading, US$4.5 million more foreign currency was bought than was sold to the public. Authorized dealers purchased the equivalent of US$45,684,367 versus US$37,912,992 on Friday, the equivalent of US$41,145,809 was sold compared with US$49,474,851 on Friday.
In US dollar trading, dealers bought US$38,512,175 compared to US$33,871,010 on Friday. The buying rate for the US dollar fell 13 cents to $112.20 and US$36,824,756 was sold versus US$46,851,454 on Friday, the selling rate inched down 2 cents to $112.62. The Canadian dollar buying rate, rose $1.18 to $99.03 with dealers buying C$2,165,519 and selling C$1,702,779 at an average selling rate that fell 35 cents, to $100.45. The rate for buying the British Pound climbed 78 cents to $179.49, for the purchase of £3,139,266, while £1,433,057 was sold, at $179.75, down 43 cents. Other currencies bought, amounted to the equivalent of US$238,954, while selling was for the equivalent of US$514,931.
Highs & Lows| The highest buying rate for the US dollar, closed 3 cents up at $112.83, the lowest buying and the highest selling rates were unchanged at $91.85 and $117.70 respectively and the lowest selling rate fell back $1.81 to $91.85. The highest buying rate for the Canadian dollar rose 5 cents to $100.55, the lowest buying rate fell 83 cents to $79.27, the highest selling rate declined 40 cents to $103.10. The lowest selling rate dropped 50 cents to $95.50. The highest buying rate for the British Pound, dropped 63 cents to $181.43, the lowest buying rate fell $1.75 to $143.92. The highest selling rate dropped 70 cents to $187.78 and the lowest selling rate eased $1.20 to $173.40.
J$ revalues against 3 main currencies
In today’s world people are so busy, they don’t have time to smell and admire the beauty of the roses, around them. Busy as we are, things are happening under our very eyes and feet, and many don’t even know it. Generally, we are headline people, the details we leave for another time.
Jamaicans have been so caught up with concern of the effect of the sliding dollar Jamaican dollar against the US dollar and the impact on their lives, they have not been paying attention to the details of what is taking place in the overall currency market.
Internationally, there have been lots of movements in major world currencies this year. The Pound lost 4 percent, the Canadian 5 percent and the Japanese yen 4 percent against the US dollar so far this year. The local currency has had moderate revaluation against the US dollar since hitting a low of $112.87 in July and is now at $112.64 as of Friday. But the revaluation against the Canadian since its low of 107.55 on July 9 up to Friday when it closed at $100.80 to the Canadian is much larger at 6 percent and the revaluation against the British pound is even more, with the Pound declining from $193.50 on July 16 to $180.17 on Friday Oct 3, a gain of nearly 7 percent for the Jamaican dollar. Based on the flows of these two currencies, where inflows are always more than sales the revaluation against them could well be greater than these numbers show, if normal market forces were to prevail.
At the end 2013 the US dollar was selling for $106.38, the Canadian for $99.22 and the Pound at $175.84, to the Jamaican dollar. The end result is that the Jamaican dollar, has hardly lost value against the Canadian so far and the Pound is down around 2.5 percent for the year to date, but Jamaican dollar has devalued 6 percent versus the US dollar, this year so far.
Factors that could play out going forward. The tight fiscal discipline that the Jamaican government has to adhere to, is squeezing excesses out of the system and reducing demand for foreign exchange. The Bank of Jamaica’s large intervention in July, seems to have removed the overhang of demand for US dollar from the system. The expected high demand, low inflow period from September to mid-December is not reflecting the usual pattern of past years, allowing some revaluation to take place. The stability is encouraging portfolio shifts out of foreign exchange holdings, back into Jamaican dollar, as investors see a long period of stability to at least late next year. The rise in US dollar, is one reason why the devaluation of the Jamaican dollar versus the Pound and Canadian dollar, have been very moderate so far, this year. The US dollar rise is reducing the cost of oil, the price has fallen a bit this year from a peak of US$105, and is now at $89, having spent March to July over $95, the forecast is for lower prices as the US dollar gets stronger, with economic activity in the US picking up steam. Lower oil prices, mean less costly import of the commodity for Jamaica. The final scenario is how much change will Bank of Jamaica allow in the local currency?
