After a series of volatile trading sessions, the Ghana Stock Exchange (GSE) saw a resurgence of bullish activity on the second trading day of the week.

This brought a wave of positive sentiment for traders and investors alike. Meanwhile, the market’s renewed vigor was largely driven by gains in key investment and petroleum sector stocks.

Overall, ten GSE-listed equities participated in the trading session, with two stocks emerging as gainers and none registering losses. The standout performers were NewGold ETF (GLD) and TotalEnergies Marketing Ghana (TOTAL), each showing notable upward movements.

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Key Performers

NewGold ETF recorded a significant gain, closing the trading day on May 28, 2024, at GHS342.90 per share. This marked a GHS9.1 increase from its previous closing price of GHS333.80. Since the beginning of the year, NewGold ETF has surged by 56.9%, starting at 218.50 GHS per share, making it the top-performing stock on the GSE for year-to-date performance.

In the past four weeks alone, GLD has accrued a 9% increase, positioning it as the second-best performer on the GSE in that period. Shareholders of GLD can be optimistic about the stock’s robust growth trajectory.

Moreover, TotalEnergies also enjoyed a positive trading session, closing at 9.61 GHS per share, up 11 pesewas from its previous closing price of GHS9.55. Starting the year with a share price of GHS9.00, TOTAL has seen a 6.78% increase, placing it tenth in year-to-date performance on the GSE.

Over the past three months, TotalEnergies has been highly active, ranking as the sixth most traded stock on the exchange. Between February 23 and May 28, 2024, TOTAL traded a total volume of 419,991 shares valued at 3.99 million GHS, averaging 6,667 shares per session. The stock achieved a volume high of 260,335 shares on March 26 within this period.

Robust Trading Activity

Owing to the bullish performance, the local bourse experienced a robust trading session, marked by a significant surge in both trading volume and turnover.

At the close of the trading day, a total of 111,415 shares were traded, amounting to a market value of GHS 539,441.61. This represents a remarkable 425% increase in trading volume and a 753% increase in turnover compared to the previous trading day, Monday, May 27.

Intravenous Infusions led the trading activity with the highest volume, trading 62,500 shares. This was followed by MTN Ghana, which traded 41,458 shares. CAL Bank and TotalEnergies Marketing Ghana also saw notable activity, with 3,349 and 1,800 shares traded, respectively.

Index Performance

The benchmark GSE Composite Index (GSE-CI) saw a slight uptick, gaining 0.62 points (0.02%) to close at 3,751.72. This movement contributes to a 1-week gain of 0.18%, a 4-week gain of 5.59%, and an impressive year-to-date gain of 19.85%.

The GSE Financial Stocks Index (GSE-FSI) remained steady at 2,049.94 points. Despite the lack of movement today, the index has posted a 1-week gain of 0.56%, a 4-week gain of 0.27%, and a year-to-date gain of 7.8%.

The overall market capitalization of the GSE rose to GHS 84 billion, reflecting the robust health and attractiveness of the exchange.

Tuesday’s substantial increases in trading volume and turnover highlight growing investor confidence and increased market activity on the GSE. The gains in the GSE Composite Index and the stability of the GSE Financial Stocks Index further highlights the positive market sentiment.

As the GSE continues to attract significant trading activity, market participants are optimistic about sustained growth and further gains in the coming weeks.

The bullish performance on the GSE, particularly by NewGold ETF and TotalEnergies Marketing Ghana, signals a positive shift in market sentiment. Investors are buoyed by the steady gains in these stocks, which have shown resilience and growth potential amidst fluctuating market conditions.

This resurgence of bullish activity could potentially attract more investors to the GSE, fostering a more robust trading environment in the coming weeks.