Ghana

• The GSE-CI ticked up by 0.1% w/w to settle at 4,665.6 points last week, bringing the year-to-date and 30-day returns to 49.0% and 7.3% respectively. The index advance  was underpinned by gains in Ecobank Transnational Inc., Calbank Plc. and  Ecobank Ghana
• Aggregate market turnover plunged by 18.1% w/w to USD 0.2mn, with Scancom Plc dominating trading activity, accounting for 77.3% of the total value traded. Market breadth favoured gainers with a 3:1 ratio.  Ecobank Transnational Inc. (+4.0% w/w | GHS 0.26) led the gainers’ chart, while Enterprise Group (-0.5% w/w | GHS 1.98) was the sole laggard.
• Market sentiment around MTNGH suggests an upside bias with offers aligning at GHS 2.50 (above the current price of GHS 2.36), including block sellers amidst rising demand. However, large buyers are consolidating positions at GHS 2.35, signaling robust interest at near-market levels, which would cap the upside for MTNGH. The clustering of buyers and sellers within this narrow range suggests a consolidation phase, with potential upward movement contingent on sufficient volume to break through the GHS 2.50 resistance. In the coming week, we will monitor volume dynamics and the behavior of block trades for indications of directional bias. For CalBank Plc, market activity indicates the presence of substantial sell-side pressure, with major sellers anchored at a limit price of GHS 0.30. However, current trading volumes remain insufficient for these large sellers to fully execute their positions. This has led to retail-driven interactions, which are currently dictating price movements. In the coming week, we expect the persistence of retail activity with low volumes, suggesting potential short-term price volatility.

Nigeria

• The NGX-ASI edged up by 0.1% w/w to settle at 97,829.0 points, bringing the year-to-date return to 30.8% and 30-day loss to 0.39%. The bullish movement in the index was underpinned by gains in mid-to-large caps.
• Aggregate market turnover increased by 2.2% w/w to USD 16.1mn, with Lafarge Africa Plc dominating trading activity, accounting for 17.3% of the total value traded. Market breadth favoured gainers with a 60% ratio. Eunisell Interlinked Plc (+60.7% w/w | NGN 19.3) led the gainers’ chart, while  Stanbic IBTC ETF 30 (-19.0% w/w | NGN 332.1) was the worst laggard.
• Following the launch of “NGX Invest” in July 2024 to streamline public offerings and rights issues in the Nigerian capital market, the Securities and Exchange Commission has highlighted  the success of its e-offering platform, which has facilitated the raising of over NGN 1.7tn by banks executing the recapitalisation directive by the Central Bank of Nigeria. This demonstrates the role of technology in improving capital market efficiency. The SEC is also implementing measures to streamline processes, boost liquidity, and attract investment, supporting Nigeria’s goal of economic diversification and sustainable growth. We perceive the potential for the NGX Iinvest to enhance seamless domestic and cross-border trades on the Nigerian Stock Exchange as investors gradually adopts the platform.

Kenya

• The NSE-ASI declined by 2.0% w/w to settle at 112.7 points, bringing the year-to-date and 30-day returns to 22.4% and 1.3% respectively. The downward movement in the index was due to losses in mid-to-large caps.
• Aggregate market turnover surged by 74.6% w/w to USD 8.1mn, with Safaricom Plc dominating trading activity, accounting for 52.6% of the total value traded. Market breadth favoured decliners with a 56% ratio. Eaagads Ltd (+10.0% w/w | KES 13.3) led the gainers’ chart, while Sanlam Kenya Plc (-16.7% w/w | KES 5.0) was the worst laggard.
• I&M Group reported an impressive net profit of KSh 9.95bn for 9M2024, reflecting a 21.3% y/y growth from the KSh 8.2bn recorded in the corresponding period in 2023. This strong performance enabled the listed lender to declare an interim dividend of KSh 1.30 per share, translating to a total payout of KSh 2.1bn, which will be paid on January 15, 2025, to shareholders in the company register as of 16th December 2024. We expect the ongoing release of the 9M2024 earnings results to impact investor sentiments, potentially driving trading activities and price actions.