FX: Pound gets hit

Friday, 5th July 2013 | The Pound got hit today again as it did yesterday when it fell by $1.60 for the buying rate and for the selling $1.21 on top of the losses in Thursday’s trade when it fell $1.38 for the buying rates and was down $1.07 for the selling rate. A major reason for the decline is a sharp fall in the value for the Pound against the USA dollar which surged today against most currencies with the release of better than expected payroll employment numbers in the US economy. The highest and lowest rates for the British currency all fell with the highest selling rate dropping all of $3.57 and the lowest by 50 cents. The highest buying rate was down by 70 cents and the lowest by $1.29.

The US dollar slipped by 3 cents on the selling side and it gained 27 cents on the buying rate while the Canadian moved up sharply from Thursday’s prices closing at $1.11 up on the buying rate and 71 cents up on the selling rate. With the exception of a 85 cent s drop on the highest buying rate all the other highest and lowest rates moved up for the Maple leaf currency. The US dollar moved up for all the highest and lowest rates except there was no change to the lowest selling rate.

The selling rates for the US dollar closed at $101.65, the Canadian $97.31 and the Pound $152.34.

It was a pretty big day as US$43 million was sold for the collective currencies and buying took place for US$33.99 million.

FX_TRADE+Currency+Jul5

FX_TRADE+HighLow+Jul5

TTSE: Demand up for TT Cement shares

Friday, 5th July 2013 | The level of trading on the Trinidad exchange amounted to 250,000 units valued at $12 million as 12 stocks changed hands with 7 increasing in price versus 2 declining.

Shares trading in reasonable quantity are Republic Bank with 91,064 shares for a value of $10,018,860, Trinidad Cement with a volume of 50,000 shares amounting $50,000, Scotia Investments with 19,378 shares with a value of $35,849, National Flour Mills 18,588 shares valued at $14,870 and West Indian Tobacco Company traded 5,000 shares with the price up by 22 cents to end the day at $117.25. Conversely, Clico Investment Fund was the only active security on the Mutual Fund Market, posting a volume of 36,820 shares valued at $828,450 and the stock price declined by $0.01 to end at $22.50.

Trinidad Cement traded 50,000 shares at a $1, up 5 cents and has a solid bid for 623,000 at $1 at the close.

One Caribbean Media traded at a 52 weeks high of $17.43 with 6,800 units trading with the price gaining 3 cents. Prestige Holdings lost 2 cents while trading 10,852 units at $9.35 each.

IC bid-offer Indicator | At the end of trading, the Investor’s Choice bid-offer market sentiment indicator shows that bids for 3 stocks were higher with 2 stocks having offers lower than their last selling price.

TTSEJul5

TTSE_PE_RatioJul5

FX: Rate changes mixed

Thursday, 4th July 2013 | The US dollar selling rate rose by 18 cents in Forex trading with the rate closing at 101.68 as buying took place at 12 cents less than on Wednesday at 100.63. US$15.66 million was purchased and selling took place for US$16.86 million.

There was more buying of pound and Canadian dollars than the amounts sold. Overall the equivalent of $19.05 million were purchased and US$19.6 million was sold on a day when buying rate for the Canadian dollar moved up 38 cents to $94.85 but the selling rates slipped by 17 cents to close at $96.59. The pound dropped by $1.38 buying and $1.07 selling.

The highest a lowest buying and selling rates also showed a mixed picture with the highest buying rates moving up 1 cent for the US dollar, $1.25 for the Canadian dollar and down $1.75 for the pound. There was no change for the lowest selling rates for the US and the Canadian dollars but the Pound put on $1.83. The highest selling rates were 53 cents up for the US dollar, no change for Canadian and $2.67 up for the Pound. The lowest selling rates were $15.25 down for the US dollar and 65 cents up for the Canadian dollar and 30 cents off for the Pound.

FX_TRADE+Currency+Jul4

FX_TRADE+HighLow+Jul4

JSE: What will happen Friday with the Lasco Splits?

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Thursday, 4th July 2013 | One question on investors’ minds is what will be the market’s reaction to the 10 for 1 stock split of the three Lasco companies when trading starts on Friday with the new share structure. In today’s trading all three stocks pulled back in price from yesterday’s last traded prices. The other main issue will be the market’s reaction to the opening of the JSE IPO that opens on Friday as well.

In today’s activity, 30 stocks traded, or 50 percent more than yesterday, but the dollar value fell to $22.35 million as Cable & Wireless traded 2.65 million shares valued at only $371,427. The advance decline ratio was tilted in favour of declining stocks with 13 declining and only 7 advancing. A total of 5.6 million shares traded, as all the indices with movement, fell moderately.

Main Market | Trades of note include Carreras of which 60,000 shares traded between $54.01 and $56, the closing price. Jamaica Broilers gained 15 cents to close at $5.20, a 52 weeks high, with 606,510 units crossing hands. Jamaica Producers climbed to $19.50 up $1 while trading 134,000 units between $18.20 and the closing price. Mayberry, a stock investors should keep a keen eye on for price movement, traded 965,000 units at $2.60. Scotia Group traded 125,000 units and closed at $21.15. Scotia Investments traded up 25 cents as 12,000 units traded with the closing price at $26.50 still below the price in Trinidad of nearly $29.

jse_logo150x150Junior market | Of the 10 stocks traded on the junior market, only Caribbean Producers closed up and by just a cent, as 125,000 units traded. Lasco Distributors closed at $16.25 and 68,000 units trading the stock lost 35 cents. Lasco Finance lost 77 cents in closing at $12 as it traded between $12 and $13 with 158,000 units changing hands. Lasco Manufacturing traded at $16.30 at the close with 87,000 units trading between $16.26 and $16.50. The only other trade of note was 27,000 units of Access Financial Services which traded at $8.25.

Market intelligence | The bid for 2.6 million at 14 cents on Wednesday for Cable & Wireless was fully supplied in today’s trading at the bid price. Its removal exposes a bid for 1 million units at 12 cents while the amount on offer at 15 cents moves up to 30.4 million units at the end of trading. The next bid after the 1 million at 12 cents is at 11 cents for 9.76 million units. RJR still has a bid of $1.23 to buy 4.79 million shares, the supply seems to be drying up with the lowest offer which was at $1.89 at close on Wednesday shifted to 8,430 at $1.30 at Thursday’s close.  The next offer is at $1.89 with only 54,000 units in all on offer currently.

Carreras traded up to $56 as the offers are waning around the $56 level and the bids are rising with good support now at $53.50 and $53. Of interest, while Mayberry Investments put out a buy recommendation for Desnoes & Geddes, they have a sell order for 1 million units at $5.18 which is preventing the stock from moving up. At the same time, there are two bids for 500,000 units each at $4.67 as the only visible major bids. Grace Kennedy stock picked up in price recently and still has a 700,000 unit on offer at $61. Jamaica Producers have 20,000 shares on offer at $20, the next offer is at $28 with bids for about 200,000 units at $19 or more, an encouraging sign for early price appreciation. Kingston Wharves have very limited supply of under 60,000 units on offer but demand is not great either. Mayberry Investments stock still has one bid at $2.60 but there is no indications of great level of supply either. The strongest bid on Scotia Investments is at $26 for 221,000 but an offer of 6 million units at $30 may act as a short term barrier on the upside.

IC bid-offer Indicator | At the end of trading, the Investor’s Choice bid-offer market sentiment indicator shows that bids for 3 stocks were higher with 2 stocks having offers lower than their last selling price.

JSEIndicesJul4

TTSE: Unilever up $1.47

Thursday, 4th July 2013 | Unilever Caribbean stock gained $1.47 to end the day at $54.01, a 52 weeks high, as 1,000 shares valued at $54,000 traded. This stock was included in this week’s Stock to Watch list.

At the end of trading, 10 stocks traded with 3 advancing, 4 declined and 3 traded firm as a total of 198,330 shares crossed the floor of the exchange valued at $3,023,973 in the main market and 90,134 shares valued at $2,029,102 traded in the Mutual Fund Market.

Sagicor Financial Corporation saw 101,730 shares changing hands for a value of $635,808, Jamaica’s National Commercial Bank with 47,946 shares trading amounted to $57,535. ANSA McAL chipped in with 20,948 shares with a value of $1,407,308 and Guardian Holdings contributed 18,392 shares valued at $296,841. Clico Investment Fund, another stock in the watch list, suffered a 49 cents drop to close at $22.51.

IC bid-offer Indicator | At the end of trading, the Investor’s Choice bid-offer market sentiment indicator shows that bids for 3 stocks were higher with 3 stocks having offers lower than their last selling price.

TTSEJul4

FX: Buying, selling equal

Wednesday, 4th July 2013 | Buying and selling in the forex market was almost equally divided on Wednesday with US$30.5 million purchased versus US$31 million sold as the US dollar buying rate climbed 14 cents and the selling rate inched up 6 cents. The Canadian dollar buying rate moved up 3 cents and selling rate fell 3 cents. The buying rate for the Pound sterling closed up $2.22 while the selling rate declined by 39 cents.

The highest buying rates fell for the US and Canadian dollars by 51 cents and $1.05 respectively, while that for the Pound climbed $2.35. There was no change for the lowest buying rate for the US dollar. The buying rates for Canadian dollar and Pound fell by 45 cents and 63 cents respectively. There was no change for the highest buying rate for the US dollar while the lowest rate climbed $14.84. The Canadian dollar moved up 28 cents for the highest selling rate and the lowest rate moved down by 55 cents, the Pound suffered a decline of $1.12 cent and a 75 cents decline for the lowest selling rate.

FX_TRADE+Currency+Jul3

FX_TRADE+HighLow+Jul3

JSE: Another record high for juniors

Wednesday, 3rd July 2013 | The junior market hit another all-time high of 815.36, up 3.34 points from yesterday’s all time high of 812.02 with Lasco Financial Services and Lasco Manufacturing posting gains on the day.

The main market, which broke its losing streak yesterday, continued the up-movement as all indices with trades climbed except the US equities. The all Jamaican Index gained 143.73 points to close at 89,037.69, the Jamaica Stock Exchange Market index closed at 87,434.18 up 96.92 on the day on a day when 8 stocks advanced in price and 8 declined.

Trading took place with 2.8 million shares as investors expended only $21.57 million, which is above the levels of Tuesday’s trading. Only one stock, Lasco Manufacturing, closed with the last traded price reaching an all-time record at the close.

Main Market | There is not much interest in this side of the market as investors’ main attraction was the Lasco stocks. As of Friday 5th July, these stocks will trade at lower prices based on the 10 for 1 stock split. Scotia Investments, no doubt based on an arbitrage situation that now exists with the stock selling in Trinidad at $28.60 while trading at $26.25 in Jamaica, was up 15 cents. $1.3 million was swapped for the stock as 49,500 units changed hands. The next highest trade was Kingston Wharves which traded 11,400 units valued at $923,000. Pan Jamaican Investments closed down $1.52 at $51.08 as 2,435 units traded.

Market intelligence | The supply of Cable & Wireless on offer at 15 cents remains at 29.4 million units at the end of trading. The immediate bid is for 2.6 million at 14 cents, next is 1 million at 12 cents, then 9.76 million at 11 cents. RJR still has a bid of $1.23 to buy 4.79 million shares. The supply seems to be drying up with the lowest offer being at $1.89 with only 46,000 units in all on offer. There is potential for price appreciation but RJR’s recent results don’t suggest that earnings can support any major upward price movement. Carreras traded back up to $56 dollars but the bids in the system appear to be weak and offers are greater than bids that are above $53.01. Grace Kennedy’s stock, which picked up in price recently, has 700,000 unit son offer at $61 that has stymied any further upward movement for the time being. Mayberry Investments had just one bid on the stock at $2.60.

Junior market | Six junior market stocks traded, as Lasco Financial at $12.77 down 67 cents with 272,000 shares trading between $12.77 and $13.01. Lasco Manufacturing traded 337,500 shares with the price closing at $16.50 up 50 cents. Lasco Distributors, closed at $16.50 down $1.50, 346,000 units traded between $16.10 and $17. Caribbean Producers closed at $2.03 while trading 868,622 units. Blue Power did not trade and there are offers amounting to 306,000 units at $10.40 to $10.50 at the end of trading, but the bids have backed off with only 50,000 units on bid at around $9.

The junior market golden cross grows stronger. The 50 day and 120 moving averages trend-lines are crossing over the 200 day moving average which is a strong market signal for a major move in the months ahead. It will be interesting to see what effect the Lasco splits will have on values on Friday when all three stocks sell at the lower stock split prices.

IC bid-offer Indicator | At the end of trading, the Investor’s Choice bid-offer market sentiment indicator shows that bids for 5 stocks were higher with 5 stocks having offers lower than their last selling price. The junior market has three of the stocks in each category of higher bids and lower offers.

JSEIndicesJul3

TTSE: Arbitrage opportunity – Scotia Investments

Wednesday, 3rd July 2013 | Scotia Investments traded 131,806 shares for $238,216 on the Trinidad Stock Exchange today, as the stock traded up 3 cents to close at $1.81 or Jamaican value of $28.60 compared to the stock price of $26.25 on the Jamaica Stock Exchange creating an arbitrage situation.

Elsewhere, trading picked up as 17 stocks traded, the most for some time. The end result is that 5 stocks advanced, 2 declined and 10 traded firm.

On the Mutual Fund Market, 1,097 shares changed hands for a value of $5,837. Praetorian Property Mutual Fund was the most active security, with a volume of 990 shares valued at $3,376.

Trading in the main market accounted for 587,979 units valued at $1,725,269 as Trinidad Cement had a volume of 258,135 shares changing hands for a value of $245,228. Sagicor Financial Corporation 93,949 shares with a value of $588,119, National Enterprises had 11,500 shares traded for a value of $182,980. Angostura Holdings chipped in with 4,070 shares with a value of $36,630.

National Commercial Bank Jamaica added 58,152 shares valued at $69,914.

One Caribbean Media Limited closed at a 52 weeks high of $17.40, increasing by 10 cents.

IC indicator | At the end of trading, the Investor’s Choice bid-offer sentiment indicator shows that bids for 3 stocks were higher with 3 stocks that had offers lower than their last selling price.

West Indian Tobacco Company, which has been on a run from April, is one of the stocks that had a bid above the last selling price.

TTSEJul3

FX: Rates holding, more or less

Tuesday, 2nd July 2013 | The foreign exchange market saw almost equal buying and selling with the selling rate for the US dollar inching up 10 cents for the day to close at $101.44 while the buying rate fell by a cent. Trading in US dollar currency brought in $23.2 million with selling amounting to $22.95 million.

Canadian dollars buying amounted to $805,000 with $760,000 being sold and the buying rate moving up by 32 cents to close at $94.44 and the selling rate ending the day at $96.80, down by just 4 cents. The Pound sterling edged down 7 cents on the buying of £1.26 million and selling took place at an average of £155, up 93 cents on the day,

Highest lowest | There was quite a bit of movement in the highest and lowest traded rates with the US dollar moving up 65 cents for the highest buying rate and 42 cents on the lowest selling rate. The highest buying remained unchanged from Monday but the lowest selling moved up by 41 cents. The Canadian dollar moved up 80 cents for the highest buying rate and 25 cent on the lowest selling rate, while the highest buying slipped 38 cents from Monday and the lowest selling moved up by just 10 cents. The Pound moved down 30 cents for the highest buying rate and up 67 cents on the lowest selling rate while the highest buying rate gained 43 cents from Monday and the lowest selling moved up by 90 cents.

Volume | Total US dollar equivalent bought was $26.6 million with $25.96 being sold.

FX_TRADE+Currency+Jul2

FX_TRADE+HighLow+Jul2

JSE: Junior market hits record high

Tuesday, 2nd July 2013 | The junior market that has been on a bull run from April closed today at a new all-time high of 812.02 as the index surpassed the previous all-time high of 811 points that was established on November 9, 2011. This market has gained 25 percent this year rising from 647.78 points as the three Lasco companies posted almost daily new highs since they announced a 10 for 1 stock split and released full year results at the start of June.

The main market broke its losing streak with a rise in the main indices with the all Jamaican Index gaining 951.70 points to close at 88,893.96 ad the Jamaica Stock Exchange index closing at 87,337.26, up 540.59 on the day.

Although all of the indices with stocks trading rose today, the advance decline ratio was just able to remain positive as 9 stocks gained to 6 that declined as trading levels declined sharply from Monday. Trading took place with 2.43 million shares as investors expended only $15.4 million, well down on Monday’s trading. Only one stock, Lasco Distributors, closed with the last traded price reaching an all-time record at the close.

stockmarketblue150x150Main Market | Carreras shares hit $56.04 by gaining $3.04 as just 4,430 units valued at $240,815 traded, Grace closed up 35 cents to  end the day at $60.35, a mere 1,240 units shifted hands, Sagicor Life traded 563,672 units valued at $5 million as the price moved up 63 cents to close at $9. Scotia Group traded 147,000 units, valued at $3.1 million and gained one cent in the process. Scotia Investment lost $1.40 in closing at $26.10 with 10,100 shares.

Like Monday, the supply of Cable & Wireless on offer at 15 cents fell a bit more to 29.4 million shares with 557,000 units trading at 14 cents. The bid to buy 4.79 million RJR shares still stands at $1.23 with no supply at hand.

Junior market | Seven junior market stocks traded with Lasco Financial at $12.10, down 60 cents, with 170,000 shares trading between $12.10 and $13. Lasco Manufacturing traded 5,000 shares with the price closing at $16. Lasco Distributors, closed at $18 but only 3,200 units traded between $16.50 and $18. General Accident traded 399,554 shares and the price closed at $2 and Caribbean Producers closed at $2.02 in trading 240,606 units. Blue Power closed at $10.40, down 60 cents, with 37,283 units but there were offers amounting to 332,000 units at $10.40 to $10.50 at the end of trading.

The junior market is in a golden cross as the 50-day and 120-day moving averages trend-lines have crossed over the 200-day moving average. This is a strong market signal for a major move in the months ahead.

IC bid-offer Indicator | At the end of trading, the Investor’s Choice bid-offer market sentiment indicator shows that bids for 5 stocks were higher with 3 stocks having offers lower than their last selling price.

JSEIndicesJul2