Rawle Lucas

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LUCAS STOCK INDEX LSI  The LSI rose 0.21 percent to 153.99 in trading in the second week of January 2012.  Positive movement was caused by the stocks of Demerara Distillers Limited (DDL) which gained 2.8 percent while the stock price of Caribbean Container Incorporated (CCI) declined by 6.25 percent. The stocks of Banks DIH (DIH) remained unchanged from the previous week.  As a result, the LSI recorded a second week of gain to keep the index moving in an upward direction.

Starting afresh

Focusing Belated New Year’s greetings to all Guyanese and in particular to the readers of the Stabroek News and its Business Section!

LUCAS STOCK INDEX At the time of preparation, there were no stock trades for the last trading period in November.  Consequently, the trading information remains the same as last week.

The morning after (cont’d)

Digest Even though the waiting might be over, Guyanese will still need to digest the implications of the election results for themselves and the country as a whole. 

The morning after

Living Conditions Quite recently, the World Bank, in a September update of an online report, observed that Guyana would not meet the goal of poverty eradication as required by the Millennium Development initiative. 

LUCAS STOCK INDEX  The LSI gained 0.40 percent in trading this week on the Guyana Stock Exchange.  The stocks of Caribbean Container, Inc (CCI), Demerara Bank Limited (DBL), Demerara Distillers Limited (DDL) and Guyana Bank for Trade and Industry (GBTI) traded during the week.  The strong showing of BTI stocks (4.35%) helped to push the index upwards.  DDL fell nearly one percent while the stock price of CCI and DBL remained unchanged.   Despite the positive movement, the spread between the index and the risk-free Treasuries due to mature in December 2011 remained below 20 percentage points.

The mixing bowl

Weak The current administration was aware of the need to push investment in Guyana in an effort to grow the economy and to create jobs, and was engaged in several courses of action to achieve economic diversification through investment. 

LUCAS STOCK INDEX The LSI has been unable to gain any traction in recent trading on the Guyana Stock Exchange and ended the last trading period in October 2011 half a percent lower than last week.  The value of Banks DIH (DIH) shares fell 3.2 percent while the other two stocks that traded, Demerara Bank Limited (DBL) and Demerara Distillers Limited (DDL), remained unchanged.  As a result, the spread between the index and the risk-free Treasuries due to mature in December 2011 fell further below 20 percentage points.

A weak supply chain

Source of Concern The condition of the sugar industry continues to be a source of concern to many Guyanese. 

LUCAS STOCK INDEX The LSI regained the value that it lost last week to reach 143.18.  Trading activity this week involved the stocks of Banks DIH (DIH), Demerara Distillers Limited (DDL) and Demerara Bank Limited (DBL).  The first two remained unchanged while the stocks of DBL increased by 3.90 percent to help push the index up.  Notwithstanding the positive movement, the spread between the index and the risk-free Treasuries due to mature in December 2011 remain below 20 percentage points.

The forgotten sector

Unique The United Nations (UN) will launch the International Year of Cooperatives (IYC) on October 31, 2011 and there is no publicly available evidence that Guyana is ready to join that effort with its own initiative. 

LUCAS STOCK INDEX  The LSI edged up by 0.82 percent in trading this week.  The stocks of Banks DIH (DIH) and Guyana Bank for Trade and Industry (BTI) rose 4.17 percent and 1.77 percent respectively while that of Demerara Distillers (DDL) remained unchanged.  Despite the positive movement, the spread between the index and the risk-free Treasuries due to mature in December 2011 remained below 20 percentage points.

A dubious human resource policy

Migrant Workers Despite the happy talk of the administration, the current model of development might not be enough to carry Guyana into the future.

LUCAS STOCK INDEX   The LSI gained less than half of one percent on positive trading by the stocks of Banks DIH (DIH).  It was only one of two stocks that traded this week and gained two and one half percent in value.  The other stock was Demerara Distillers Limited (DDL) which recorded no movement in value.  Despite the positive results, the spread between the index and the risk-free Treasuries due to mature in December 2011 remained below 21 percentage points.

No need for policy on job creation

No effort The disclosure on migration emerging from the Wikileaks cable appearing in the daily newspapers might well explain the lack of urgency on the part of the current administration to create the conditions for faster private sector jobs in Guyana. 

Resetting the telecommunications switch

Unilateral Sometime this year, the PPP/C administration will unilaterally pass a Telecommunications Bill that will see a change in the size, structure and management of the information and communications sector. 

That pesky thing called maintenance

Appearance While income in the construction and engineering sector of the Guyana economy has been growing at the rate of 12 percent per annum over the last five years, there is an increasing lack of attention to a critical aspect of Guyana’s infrastructure. 

LUCAS STOCK INDEX  The LSI fell on the decline in the stock price of the two largest companies making up the index.  The stock price of Banks DIH (DIH) fell four percent while that of Republic Bank (RBL) fell over four and a half percent.  The relatively small weight of the stocks of Sterling Products Limited (SPL) was insufficient to move the index in a positive direction, even though its value increased over 15 percent on trading this week.  The three other stocks, Demerara Bank Limited (DBL), Demerara Distillers Limited (DDL) and Guyana Bank for Trade and Industry (GBTI) that traded in the week provided no help since they all recorded no change in value.  As a result, the spread between the index and the risk-free Treasuries due to mature in December 2011 fell below 15 percentage points.

Advancing a concept for village development

Budding Relationship In this the third discussion about the village of Victoria, one of the many rural communities facing grave economic and social challenges, an effort is made to highlight a few issues aimed at promoting and solidifying its development. 

LUCAS STOCK INDEX  The LSI edged up less than half of one per cent in the third week of trading in July 2011. The slight change in value of the index came as a result of a four per cent rise in the DIH share price that countered a three per cent decline in the share price of DDL. With the stock price of RBL constant, the index maintained an upward trajectory. As a result, the index continues to exceed the risk-free Treasuries due to mature in December 2011 by more than 16 percentage points.

Reshaping its village economy

Village Conditions The village of Victoria, located about 18 miles from Georgetown, has begun preparations for hosting the second Indaba (conference) in an effort to take control of its economic future and to bring greater economic and financial success to its residents. 

LUCAS STOCK INDEX LSI  At the time of writing, no data was available for stock trades in the first week of July 2011.  As a result, the LSI remains at the same level as last week.

Hiding behind turmoil overseas

Attractive Prices At the time of writing this article, the price of gold had jumped by US$17 to reach US$1,531 from its closing price of Tuesday. 

LUCAS STOCK INDEX LSI  In the last week of trading for the month of June 2011, the LSI increased by a mere half of one percent.  The slight movement in value came from the trade of the stocks of three companies namely Banks DIH (DIH), Demerara Distillers Limited (DDL) and Republic Bank Limited (RBL).  DDL posted a 3.77 percent increase while DIH and RBL recorded no gain.  Despite the small change in value, the index now exceeds the risk-free Treasuries due to mature in December 2011 by nearly 12 percentage points.

Economic victory for Victoria

Pride One year ago, the people of Victoria convened their first Indaba (conference) to confront the economic plight and dim development shadow that hovers over the village. 

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