Even as trading activity slowed on the Ghana Stock Exchange (GSE) in June, one segment stood tall: the financial sector. In a market clouded by cautious investors and thinning volumes, financial institutions, especially local banks, provided a surprising burst of momentum, keeping the broader market steady in an otherwise quiet month.
Total volume traded on the exchange fell to just over 32 million shares in June, a 19% drop from the same period last year. The total value traded plunged even more sharply, by nearly 46%, to GHS 128.29 million. Year-to-date numbers paint a starker picture: volumes are down 74% compared to the first half of 2024, and the total value traded has slipped by over 5%.
But buried within the softening numbers was a story of resilience. The GSE Financial Stock Index surged 4.94% during the month, closing at 3,376.01 points. This pushed its year-to-date return to an impressive 41.80%. The broader GSE Composite Index also rose modestly by 1.60% in June, closing at 6,248.48 points and notching a year-to-date gain of 27.82%.
The star performers were largely financial institutions. GCB Bank PLC led the way with a 24.53% price gain, while Access Bank Ghana PLC followed closely with 22.19%. Société Générale Ghana PLC and Ecobank Ghana PLC each posted gains of over 14%. SIC Insurance Company PLC also recorded a double-digit rise of 12.87%, reflecting improved investor confidence in the broader financial sector.
It’s also worth noting the contrast. While financials soared, several non-financial stocks saw red. CalBank PLC fell 5.17%, Ecobank Transnational Inc. dropped 4.49%, and telecom giant Scancom PLC slipped 1.68%. Even NewGold, typically seen as a hedge in uncertain times, dipped slightly by 0.48%.
This divergence reinforces a quiet shift in investor thinking. With inflation slowing, sectors traditionally weighed down by cost pressures, like banks and insurance, are now regaining ground.
