Trading activity on the Ghana Stock Exchange (GSE) increased sharply last week, but the higher turnover did not translate into a stronger market, as falling share prices pushed total market capitalisation down by about GH¢3.9 billion.
Market capitalisation declined from GH¢270.20 billion in the previous week to GH¢266.27 billion between September 22 and 25, representing a 1.45% drop.
The decline came as the GSE Composite Index (GSE-CI), which tracks the performance of the broader equities market, fell 2.95% to 13,886.74.
At the same time, however, investors traded significantly more shares. Total volume rose 59.52% to 25.53 million units, while the value of trades increased 56.37% to GH¢145.82 million.
In simple terms, the market was busier but weaker: more shares changed hands and more money was traded, but prices across a number of stocks moved lower, reducing the overall value of listed companies.
Share prices reflect the pressure
The movement in individual stocks provides a clearer picture of what happened during the week.
Among the biggest decliners, CLYD fell 14.47% from GH¢4.70 to GH¢4.02, while SIC dropped 7.92% from GH¢5.43 to GH¢5.00.
MTNGH also declined 7.03%, moving from GH¢6.69 to GH¢6.22. Other notable losses came from KASA, which fell 2.19%, IIL, down 1.92%, and GCB, which slipped 1.81% to GH¢40.05.
These declines were enough to weigh on the broader market, despite gains recorded by some stocks.
DIGICUT was the strongest gainer during the week, rising 10% from GH¢0.40 to GH¢0.44. CPC followed with an 8.33% increase to GH¢0.26, while ETI gained 5.62% to GH¢1.69.
EGH also rose 2.63% to GH¢39.00, with CAL recording a smaller 1.39% increase.
Overall, the average price change among the listed market movers was negative at 0.73%, reinforcing the picture of generally softer share prices during the week.
ICT stocks dominate trading
The increase in trading activity was heavily concentrated in the ICT sector.
ICT stocks accounted for 21.75 million units, representing 85.20% of total market volume. They also generated GH¢136.72 million in traded value, equivalent to 93.76% of the market’s total value for the week.
This means the sharp increase in overall market activity was not evenly distributed across sectors, with ICT accounting for the overwhelming share of transactions.
Financial stocks show a different trend
While the broader market weakened, the GSE Financial Stocks Index (GSE-FSI) moved in the opposite direction, rising 0.95% to 7,562.44.
The performance reflects the more resilient movement among financial stocks during the week, even as the broader GSE-CI declined.
The sector’s year-to-date performance also remains strong, with the GSE-FSI up 62.73%, compared with a 58.34% gain for the GSE-CI.
Strong year-to-date gains remain
Despite the weekly correction, several stocks continue to record substantial gains since the beginning of the year.
IIL remains the biggest year-to-date gainer among the listed movers at 920%, despite its 1.92% decline during the week. CLYD is up 704% year-to-date even after its 14.47% weekly fall, while DIGICUT has gained 388.89%.
SIC and CPC are also up 316.67% and 333.33%, respectively, since the start of the year.
The latest figures therefore point to a market experiencing a short-term pullback within a much stronger year-to-date performance.
