Rabat - The wait-and-see approach of the Moroccan stock market is expected to persist during the month of June 2017, according to the forecasts of analysts of Crédit du Maroc Capital (CDMC).
Rabat – The wait-and-see approach of the Moroccan stock market is expected to persist during the month of June 2017, according to the forecasts of analysts of Crédit du Maroc Capital (CDMC).
In the absence of any precursor, the current month should be marked by both the advent of the summer and Ramadan, noted the stock market company in its stock-market balance of May 2017.
Following a recovery in April, after a rough first quarter, the Casablanca Stock Exchange failed to maintain an upward trend and ended May on a negative note, reports CDMC.
In these conditions, the main indexes of the rating show a decline of 0.52% to 11,577.96 points for the MASI Index and of 0,51% to 9,441,74 points for the MADEX Index. CDMC continued that the Moroccan All Share Index was impacted by acombination of several events, most notably the contraction in the weight of Morocco in the MSCI FM Index from 8.40% to 7.96% as part of the quarterly review of the index taking effect on May 31, 2017.
The latter also underlines the increase in import of goods and services, which grew by MAD 14.21 billion. The increase in imports is farhigher than the monetary increase in exports, which grew by MAD 3.6 billion. This increase caused a widening of the trade deficit of MAD 10.61 billion to MAD -40.23 billion at the end of April 2017.
According to the statistics of the Foreign Exchange Office, the rate of coverage is reduced to 74.1% instead of 79% a year earlier, noted the CDMD.
Other highlights included CDMC analysts pointing to a 0.2% rise in the Consumer Price Index in April 2017, due in particular to the 0.3% increase of the food products index and the stagnation of the non-food products index, citing the High Commission for Planning (HCP).
In its monthly balance sheet, the brokerage firm added that the stagnation of the Casablanca Stock Exchange during the past month was mostly due to the losses accrued by virtually all large cap stocks.
In this regard, Maroc Telecom registered a decrease of 5.16% during May, Lafarge Holcim Maroc -4.10%, Wafa Assurance -2.49%, BCP -1.09% and Cosumar -0.78%, and these five values ??alone contributed by -1.61% to the decrease of the MASI Index in May.
The overall market valuation settled at MAD 582.9 billion in May, down by nearly MAD 4 billion compared to April 2017, marking a 0.6% decline.
Meanwhile, the Daily Quantitative Volume (VQM) of the BVC amounted to MAD 164.55 million =, against 104.19 million in April 2017.