May 17, 2021 - BY Admin

THE WEEK FROM 10TH TO 14TH OF MAY ON THE GHANA STOCK EXCHANGE

IT SEEMS THAT THE GHANA STOCK EXCHANGE [GSE] ONLY WAITED FOR RECKLING ENTERPRISE TO COME BACK TO COMMENT ON ITS PERFORMANCE, TO MOVE DOWNWARDS.

AFTER OBVIOUSLY IMPROVING IMMENSELY SINCE THE BEGINNING OF THE YEAR 2021, THE COMPOSITE INDEX FELL DOWN IN COMPARATIVELY  HUGE STEPS. THIS MIGHT BE BECAUSE INVESTORS WANTED TO MAKE SOME PROFIT TAKING, OR THEY BECAME AFRAID OF HEIGHTS THEY WERE NOT USED TO. 

WHATEVER IT IS, THE COMPOSITE IS STILL UP 30 PERCENT ON THE YEAR, AND I CANNOT IMAGINE THAT THE INDEX WILL RETURN TO THE LOW RANGES WE HAD BEFORE. THIS IS BECAUSE ALTHOUGH THE FINANCIAL MARKETS DO NOT NECESSARILY REFLECT THE OVERALL ECONOMY, THEY OFTEN  FORESEE ECONOMIC DEVELOPMENT IN THE COUNTRY,  THEREFORE, WE CAN DERIVE FROM THE RECENT UPTURN OF THE GSE THAT INVESTORS ARE CONFIDENT THAT THE CURRENT GOVERNMENT PUTS THE ECONOMY INTO THE RIGHT DIRECTION.

UNLIKE THE COMPOSITE, THE FINANCIAL DID NOT MAKE BIG JUMPS, BUT SHOWS A SLOW BUT   NEVERTHELESS POSITIVE DEVELOPMENT. THERE IS LESS VOLATILITY IN THE FINANCIAL THAN IN THE COMPOSITE.  THAT IS SURELY A SIGN OF IMPROVED INVESTOR'S CONFIDENCE IN THE FINANCIAL SECTOR. THIS SECTOR HAS SHOWN REMARKABLE STABILITY THROUGHOUT THE COVID19 INFLUENCED PERIOD, AND THAT STABILITY SHOULD CONTUE IN THE FORESEEABLE FUTURE.

THE GSE BECOMES EXCITING AGAIN, AND RECKLING ENTERPRISE WILL FOLLOW ITS DEVELOPMENT IN THE WEEK AND MONTHS TO COME.

STAY TUNED...