Weekly Report – April 17, 2020

Local Stock Market Review

For the week ended Friday, Majority of the Jamaica Stock Exchange indexes closed lower than the previous week. The JSE Junior Market Index decreased 7.83%, the JSE Combined Index decreased by 2.96%, the JSE Main Market Index decreased by 2.59%, the JSE All Jamaican Composite Index decreased by 2.66% and the JSE USD Equities Index decreased by 0.30%. The biggest winner this week MPC Caribbean Clean Energy Limited, rising by 26.26% to close at J$176.77. The biggest loser was Everything Fresh Limited falling by 30.77% to close at J$0.66.

Index

4/17/20204/9/202012/31/2019Week/WeekYear-to-Date
JSE Main Market

388,060.38

398,359.12

509,916.44-2.59%

-23.90%

JSE Junior Market

2,435.86

2,642.81

    3,348.97

-7.83%

-27.27%

JSE Combined Market

383,260.59

394,956.70

505,253.98

-2.96%

-24.14%

JSE USD Equities Market

201.77

202.37

      226.23

-0.30%

-10.81%

 

Local Dividend Schedule

SecurityDiv/ShareRecord DateX DatePayment
SGJJ$0.5531-Mar-2030-Mar-2022-Apr-20
SJJ$0.4024-Apr-2023-Apr-206-May-20
MILJ$0.12522-May-2021-May-201-Jul-20

 

FX Market

Currency Pair4/17/20204/9/202012/31/2019Week/WeekYear-to-Date
JMD: USD140.02137.67132.57-1.71%-5.62%
JMD:CAD99.99100.91100.700.91%-0.70%
JMD:GBP175.10175.33170.640.13%-2.62%

 

Unit Trust Performance

Unit Trust Fund4/17/20204/8/2020Week/Week
Return
Year-to-Date
Return
1 Year ReturnYield
Capital Growth80.480179.950.66%-16.85%10.9% –
Money Market14.597714.36031.65%1.61%3.47%2.19%
Income Portfolio100.00100.001.71%
FX Bond Portfolio (US$)1.25281.24460.66%-6.65%2.65%
Real Estate Portfolio6,584.406,426.332.46%27.98%25.78%
FX Growth Portfolio0.8336
0.8173
1.99%-6.94%-8.23%

 

Stock Market Weekly Report

April 17, 2020 – Download here

 

International Update

International Equity Market

Index4/17/20204/9/202012/31/2019Week/WeekYear-to-Date
Dow Jones
24,242.49
23,719.37
28,462.142.21%-14.83%
S&P 500
2,874.56
2,789.82
3,234.853.04%-11.14%
NASDAQ 100
8,832.41
8,238.53
8,733.077.21%1.14%
FTSE 100
5,786.96
5,842.66
7,542.44-0.95%-23.27%
Euro Stoxx 50
2,888.30
2,892.79
3,748.47-0.16%-22.95%

US News & Data:

The number of Americans filling for unemployment benefits was 5.245 million in the week ended April 11 ,
down from the previous week’s 6.615 million and compared to market expectations of 5.105 million. The latest figure brought the total reported over the past month to 22 million, as the coronavirus pandemic swept across the United States (US). Annual inflation rate in the US fell to 1.5% in March of 2020 from 2.3% in February 2020 and slightly lower than market expectations of 1.6%. It is the lowest inflation rate since February of 2019. US core consumer prices, excluding volatile items such as food and energy, increased 2.1% from a year earlier in March 2020, the lowest since June 2019 and below market expectations of a 2.3% advance. Retail sales in the US plunged 8.7% month-over-month in March of 2020, following a downwardly revised 0.4% drop in February 2020 and worse than market expectations of an 8% drop. It is the biggest decline on record, indicating that the coronavirus impact on the economy may be harder than anticipated.

European News & Data:

The UK posted a GBP$2.79 billion trade deficit in February 2020, compared to a revised GBP$2.41 billion surplus in January 2020. Exports tumbled 5.8% to a nine-month low, due to a 10.8% plunge in goods shipments and a 0.1% decline in service exports. The consumer price inflation in the UK edged down to 1.7% year-on-year in February 2020 from 1.8% in the previous month and in line with market expectations. The ZEW Economic Sentiment Index for Germany plunged by 58.2 points to -49.5 in March 2020, the lowest level since December 2011 and well below market expectations of -26.4. It was also the largest drop since the survey was started in December 1991, as coronavirus worries rattle global markets. German GDP is seen contracting in the first half of the year, and expectations for 2020 as a whole point to a decline in real GDP growth of approximately one percentage point as a result of the Covid-19 pandemic. The assessment of the economic situation in Germany has also worsened significantly, falling by 27.4 points to -43.1 points. This combination of strongly negative values for the indicators of both the economic sentiment and the assessment of the current situation has only been witnessed during the financial crisis in autumn of 2008.

G20 News & Data:

The Chinese economy shrank 6.8% year-on-year in the first quarter of 2020, after a 6% growth in the last three months of 2019 and compared with market expectation of a 6.5% decline. It is the first GDP contraction since records began in 1992, reflecting the severe damage caused by the COVID-19 outbreak after the authorities enforced a near two-month-long shutdown of all non-essential business activity. China’s annual inflation rate fell to 4.3% in March 2020 from 5.2% in February 2020 and compared with market expectation of 4.8%. This was the lowest inflation rate since October 2019, amid government control measures to contain the COVID-19

outbreak. National Australia Bank’s index of business confidence plunged to a record low of -66 in March 2020 from -4 in February 2020, reflecting severe damage caused by the COVID-19 pandemic. The index of business conditions plummeted to -21 in March 2020 from 0 in February 2020, dragged down by sharp declines in sales, profits and employment. In addition, forward orders dropped to its lowest on record and capacity utilization tank. The virus has caused severe damage on two of Australia’s most lucrative sectors – tourism and education – with the Reserve Bank of Australia (RBA) warning economic output will suffer a very sharp contraction this quarter. The Melbourne Institute and Westpac Bank Consumer Sentiment Index for Australia plunged 17.7% over a month earlier to 75.6 in April 2020 from 91.9 in March 2020. It was the biggest monthly fall in the survey history, taking the index to its lowest level since February 1991, as the coronavirus pandemic hit consumer sentiment. The Australian economy added 5,900 jobs in March 2020, following a downwardly revised 25,600 gain in the previous month and easily beating market forecasts of a 40,000 fall. The Bank of Canada left its benchmark interest rate unchanged at 0.25% on April 15th, 2020, as widely expected. The Committee added that they will continue to purchase at least CAD$5 billion in Government of Canada securities per week in the secondary market; they will increase the level of purchases as required to maintain proper functioning of the government bond market and they will temporarily raise the amount of Treasury Bills it acquires. Policymakers also announced a new Provincial Bond Purchase Program of up to CAD $50 billion; and a Corporate Bond Purchase Program, in which the Bank will acquire up to a total of CAD$10 billion in investment grade corporate bonds in the secondary market. The Bank of Canada is also enhancing its term repo facility to permit funding for up to 24 months. The unemployment rate in Canada rose to 7.8% in March 2020 from 5.6% in February 2020 and above market expectations of 7.2%. It was the highest jobless rate since October 2010, as the coronavirus pandemic began to take hold. The economy shed more than 1 million jobs, well above forecasts of a 350 thousand decline.

News

Finance ministry to work with business groups on COVID-19 assistance…read more

STATIN reports slight decline in unemployment for January…read more

Fitch revises NCB’s outlook from positive to negative…read more

Airline revenues to nosedive by 55% in 2020: IATA…read more

IMF approves debt relief for 25 poor countries…read more

US plans new aid to Central America, year after Trump cut-off…read more

China inflation slows as lockdowns ease…read more

Oil Price Falls Below US$20 On Forecast Of Declining Demand…read more

Senate Democrats and Republicans were negotiating a deal that would allocate $310 billion more into the Paycheck Protection Program, setting aside $60 billion for rural and minority groups…read more

Scenes of protests across the US demanding states reopen the economy amid coronavirus pandemic…read more

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