ISSUE NO. 14

Last week, the local Indices all ended in positive territories. The Composite Index gained 0.16%, as both the All T&T Index and Cross Listed Index advanced 0.17% and 0.14% respectively.

FEATURES

Local Market Review Local Fixed Income Review

22ND JANUARY, 2018

WEEKLY MARKET ROUND-UP 

Find New Tbill issue summary below.

All information contained herein is obtained by JMMB® Investment Research from sources believed by it to be accurate and

reliable. All opinions and estimates constitute the Analyst’s judgment as of the date of the report. However, neither its accuracy

and completeness NOR THE OPINIONS BASED THEREON ARE GUARANTEED. As such NO WARRANTY, EXPRESS OR

IMPLIED, AS TO THE ACCURACY, TIMELINESS OR COMPLETENESS OF THIS REPORT IS GIVEN OR MADE BY JMMB®

IN ANY FORM WHATSOEVER. JMMBITT is a member of the JMMB Group and a registered broker dealer with TTSEC.

Local Market ReviewLast week, the local Indices all ended in positive territories. The Composite Index gained 0.16%, as both

the All T&T Index and Cross Listed Index advanced 0.17% and 0.14% respectively. First Tier Market

activity amounted to 1.48 million units valued at over $22.1 million. Guardian Holdings Limited (GHL) was

last week's volume leader, for the second week in a row, with 328,485 units changing hands, capturing

22.17% of market activity. JMMB Group Limited (JMMBGL) followed closely with 285,764 units or 19.28%

while NCB Financial Group Limited (NCBFG) ranked third, with 252,436 units holding 17.03% of market

activity.

Overall market activity resulted from the trading activity of 23 stocks of which 12 advanced, 6 declined and 5 traded steady. The biggest gain goes to One Caribbean Media (OCM), which moved $0.92 or 7.04% to

close at $13.98. Prestige Holdings Limited (PHL) experienced the biggest contraction last week, retreating

$0.19 or 1.2% to close the week at $10.51.

Local indices annual performance:

� The Composite Index advanced by 2.06 points (↑0.16%) to close at 1,277.01 (YTD: ↑0.84% )

� The All T&T Index advanced by 2.91 points (↑0.17%) to close at 1,713.52 (YTD:↓0.88% )

� The Cross Listed Index advanced by 0.16 points (↑0.14%) to close at 113.41. (YTD:↑4.64%)

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2 JMMB INVESTMENTSMARKET ROUND-UP

Local Fixed Income Review

"The domestic currency has strengthened over the

last three months but is not likely to continue along

the same path going into Q1:18 as we expect the

appreciation momentum to slow. Going forward

economic fundamentals and market conditions will

influence the movement of the currency.

The fundamentals are headed in the right direction;

the current deficit has narrowed, the fiscal deficit is

broadly under control barring unexpected wage

increases and capital inflows remain elevated. The

Government of Jamaica (GOJ) is expected to

continue to implement the medium term fiscal

policy and as such we are envisioning the primary

balance target being met in FY 2017/18 and a

fiscal surplus in FY 2018/19.

Looking ahead, the macroeconomic environment is

likely to be characterised by stability in some of the

main economic variables including inflation, the

exchange rate and interest rates."

3 MARKET ROUND-UP

Regional Economic ReviewJMMBIR : Jamaica Economy Outlook

DOMINICAN REPUBLICJAMAICAJMMBIR: Dominican Republic Outlook

"The Dominican Republic remains the fastest growing

economy in Latin America and the Caribbean despite

an expected slowdown in 2017.

The growth momentum is tempered in part by slower

Government spending to meet the fiscal target over

the medium-term. Tourism and related construction

activities remain the main drivers of the growth

dynamics with aid from mining and exports from the

free zones.

Inflation is trending up in part due to an increase in

crude oil prices. The domestic economy is heavily

dependent on imported fossil fuels

for transportation, electricity generation and domestic

purposes. Thus a rise in oil prices is transmitted

through these conduits to push inflation.

Stability has characterized the foreign currency

market since 2012 however relatively low reserves

place the economy in a vulnerable position especially

with respect to terms of trade shocks, which if they

occur could prove disruptive to market activities and

lead to accelerated depreciation. "

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4 MARKET ROUND-UP

According to recent reports, Organization of the

Petroleum Exporting Countries (OPEC) and Russia

has reaffirmed their intentions to curtail oil

production for the remainder of the year while also

signaling their willingness to continue cooperating

into 2019.

Russian's Energy Minister, Alexander Novak, in a

statement last Monday, said that he believes that

the global oil market still has not fully re-balanced

and the aforementioned cuts will help normalize

the energy glut.

Crude oil prices closed the week at US $63.37 per

barrel while Brent prices inched up to US $68.61

per barrel.

Source: Bloomberg

Global growth is expected to accelerate to the

fastest pace in seven years, as US tax cuts

spur businesses to invest as well as the

anticipated strong growth in Europe and

Asia, according to the International Monetary

Fund (IMF).

The Fund forecast a global growth of 3.7% for

2017 and raised its projections to 3.9% for

this year and 2019. This signals the fastest

rate of growth since 2011, when the world

was recovering from the financial crisis.

Projected US growth was the highest among

advanced economies, carded to grow to

2.7%.

Source: Bloomberg

ENERGY MARKET

Oil prices expected to firm up

GLOBAL ECONOMY

IMF Raises 2018 Global Growth Forecast

All information contained herein is obtained by JMMB® Investment Research from sources believed by it to be accurate and

reliable. All opinions and estimates constitute the Analyst’s judgment as of the date of the report. However, neither its accuracy

and completeness NOR THE OPINIONS BASED THEREON ARE GUARANTEED. As such NO WARRANTY, EXPRESS OR

IMPLIED, AS TO THE ACCURACY, TIMELINESS OR COMPLETENESS OF THIS REPORT IS GIVEN OR MADE BY JMMB®

IN ANY FORM WHATSOEVER. JMMBITT is a member of the JMMB Group and a registered broker dealer with TTSEC.

International Economic Review