KEY HEADLINES & INSIGHTS

Gold prices reach consecutive record high of $2871.6 per troy ounce on February 05, 2025.

The government rejected GHS 2.9 billion in Treasury bill bids after receiving GHS 10.6 billion in offers, exceeding the target by 40.5%. It initially aimed to raise GHS 7.3 billion but accepted GHS 7.7 billion.

Ghana stands as the world's third-largest exporter of raw cashew nuts, behind Ivory Coast and Cambodia — but it's ready to cash in on more. (BBC, 2025)

Ghana Gold Coin Pricing Update: 1 oz Now Selling at GH₵ 45,624.64, with 0.50 oz at GH₵ 23,225.19 and 0.25 oz at GH₵ 12,056.77as of 7thFebruary 2025. (Bank of Ghana, 2025)

PRIMARY DEBT MARKET ISSUANCE WEEK

In the past week, yields on the Government of Ghana bills showed modest declines across all maturities. The 91-Day GoG Bill decreased by 42.8 basis points, dropping from 28.4129% to 27.9849%. Similarly, the 182-Day GoG Bill saw a decline of 21.28 basis points, moving from 28.8984% to 28.6856%. There was no current rate available for the 364-Day GoG Bill, which previously stood at 30.3703%. The downward trend in shorter-term rates may indicate easing market demand for these securities or changes in monetary policy conditions.

Source(s): Bank of Ghana

GHANA FIXED INCOME MARKET VOLUME TRADED

The Ghana Fixed Income Market (GFIM) recorded a total trading volume of GH₵4.42 billion at the close of the week, reflecting a marginal increase from the GH₵4.21 billion reported in the previous week. This performance was achieved across 7,792 transactions, with Treasury bills dominating the market and accounting for 97.77% of the trades. Meanwhile, New Government of Ghana (GoG) Notes and Bonds contributed 1.96% to the total trading activity.

Trading activity for the week began on February 3 with a volume of GH₵861 million, primarily driven by Treasury Bills and Sell/Buy Back Trades. On February 4, market activity surged, with volumes climbing to GH₵1,171 million, still supported largely by Treasury Bills. The market activity dipped on February 5, with volumes declining to GH₵1,035 million, fueled by Treasury Bills. The decline continued on February 6, volumes dipped to GH₵713 million. Subsequently, the week ended on a weaker note, with traded volumes dropping to GH₵635 million, largely by Treasury bills and New GoG Notes & Bonds.

Week's Ghana Fixed Income Market Total Volume Traded

EQUITY MARKET

This week, trading on the local stock exchange booked a bearish performance, with total share volume declining by 23.66% to 2,297,665 shares, from last week's 3,009,693 shares. However, the total traded value also surged by 378.63%, reaching GH₵18.81 million, indicating higher-value transactions than the previous week’s GH₵3.93 million. Market capitalization experienced a marginal downturn, closing at GH₵118.50 billion, up from the previous week's value of GH₵ GH₵117.17 billion.

Regarding market indices, the GSE Composite Index (GSE-CI) closed at 5,245.36, showing a gain of 0.3% week on week, a monthly gain of 0.3%, and a strong year-to-date gain of 7.3%.

Week's Equities Top Gainers & Laggards

Moreover, the GSE Financial Stocks Index (GSE-FSI) also increased to reach 2,497.19 points, making it a weekly gain of 0.88%, a monthly gain of 0.88%, and a year-to-date gain of 4.89%.

EQUITY MARKET MOST TRADED STOCKS

Source(s): Ghana Stock Exchange

TOP PERFORMING AFRICAN STOCK INDICES YEAR-TO-DATE

Source(s): African Markets

COMMODITY MARKET

The commodities market experienced mixed performance this week, influenced by notable price fluctuations. Gold prices rose sharply from $2,812.5 per troy ounce to $2867.3 per troy ounce, remaining near the record highs touched this week amid growing expectations that major central banks will loosen monetary policy this year.

In contrast, Brent crude oil futures dipped from $76.67 to $74.66 per barrel by Friday, after fresh sanctions targeted Iran's crude exports, which was affirmed by US President Donald Trump’s escalating trade dispute with China and the threat of further tariffs on other countries.

Cocoa futures declined from $10,987to $10,018 per ton, booking a weekly loss of 8.82%. their lowest since early December 2024, as concerns over demand resurfaced. At the same time, beneficial rainfall in the key producing region of West Africa has boosted cocoa tree growth and is putting downward pressure on cocoa prices.

Source(s): Yahoo Finance, Trading Economics

CURRENCY MARKET

Exchange rates exhibited a slight upward trend compared to the previous week, reflecting a marginal depreciation of the Ghanaian cedi against major currencies. The USD/GHS increased from 15.30 to 15.49. Similarly, GBP/GHS increased to 19.22 from19.00, and EUR/GHS increased to 16.03 from 15.90.

Source(s): Bank of Ghana