JSE Index posts over 20% gain, strongest since pandemic

The Jamaica Stock Exchange (JSE) delivered its strongest nine-month performance in years, with the benchmark Main Market Index rising over 20 per cent year to date.

It was propelled by sharp gains in financial and infrastructure stocks, and renewed investor activity.

“It’s a rebound after several years of fallout,” said Gary Peart, CEO of Mayberry Group, in response to Financial Gleaner queries.

Mayberry invests a portion of its assets in local equities through subsidiary Mayberry Jamaican Equities, which allows investors to buy a curated basket of JSE-listed stocks.

The JSE Combined Index closed September at 385,314.47 points, up 21.2 per cent from the end of 2025. The JSE USD Equities Index climbed even higher, gaining 39.2 per cent year to date, while the Junior Market remained under pressure, declining 8.7 per cent over the same period. Market capitalisation climbed to $2.08 trillion in September from $2.01 trillion a month earlier.

For Peart, the market’s near-term outlook hinges on the outcome of Scotia Group Jamaica’s October 7 shareholder vote on its proposed delisting. The parent company is seeking to buy out minority shareholders at a premium of roughly one-third to the prevailing market price, a transaction that would put some CDN$550 million into investors’ hands if approved.

“If the vote is positive, I believe further growth will continue,” Peart said, arguing that the liquidity event could flow into other dividend-paying stocks offering relatively stable returns.

The latest gains mark the exchange’s strongest year-to-date advance since 2019, when the market rose about 34 per cent before the COVID-19 pandemic erased much of those gains.

“Despite this strong rally, the market remains significantly below its pre-pandemic peak of approximately 532,000 points,” said Denise Marshall-Miller, assistant vice-president of Global Markets and Digital Asset Trading at VM Wealth Management, in response to Financial Gleaner queries. She noted that major US stock markets have advanced by roughly 40 per cent over the period.

The rally was driven largely by stronger banking results from Scotia Group Jamaica and NCB Financial Group, along with sustained investor interest in dividend-paying stocks such as TransJamaican Highway and Carreras. Marshall-Miller said the Junior Market remains more vulnerable to global economic conditions, including tariff uncertainty, oil-price volatility, supply chain disruptions and elevated financing costs.

LARGE-CAP STOCKS DOMINATE RALLY

TransJamaican Highway emerged as the Main Market’s biggest year-to-date winner among established stocks, surging 116.7 per cent through September and 146.7 per cent over the last 12 months. NCB Financial Group advanced 80.0 per cent year to date, while Carreras gained 56.7 per cent, General Accident Insurance rose 37.1 per cent, and Scotia Group Jamaica climbed 32.6 per cent.

Those gains helped offset steep declines elsewhere. MPC Caribbean Clean Energy fell 61.7 per cent year to date, while Palace Amusement, First Rock Real Estate Investments, A.S. Bryden, and Margaritaville Turks each lost more than one-third of their market value during the period.

TRADING ACTIVITY STRENGTHENED

Ordinary market transactions increased 7.3 per cent year over year during the first nine months, while average daily trading volume rose to just over 31 million shares from 27.8 million a year earlier. Average daily trading value increased to approximately $308 million from $274 million.

September was particularly active. Trading volume reached 2.21 billion shares, more than four times the level recorded in September 2025, while trading value jumped to nearly $21 billion from $4.44 billion a year earlier.

UNEVEN GAINS

The Junior Market remained under pressure despite posting a 3.4 per cent rise in September. The index closed the month at 3,104.25 points, down 8.7 per cent year to date and 9.5 per cent from a year earlier.

Still, select junior-market stocks produced outsized returns. Jetcon Corporation soared 220 per cent year to date and 177.5 per cent over the last 12 months. Image Plus Consultants gained 83.0 per cent through to September and 88.7 per cent year over year, while R.A. Williams Distributors doubled in value year to date.

Weakness remained concentrated in consumer-oriented and smaller-cap stocks. Kintyre Holdings, Main Event Entertainment, CAC 2000, Derrimon Trading, and FosRich ranked among the poorest performers for the year.

The divergence between the Main Market and Junior Market contrasted with conditions in the exchange’s US-dollar market, where the USD Equities Index climbed 39.2 per cent year to date and 52.6 per cent over the previous 12 months. TransJamaican Highway’s US-dollar shares advanced 115.3 per cent year to date, helping drive the index higher.

By the end of September, the JSE had become increasingly reliant on a small group of financial and infrastructure stocks for market direction, reflecting a widening divide between companies benefiting from improving earnings and those still struggling to regain investor confidence.

business@gleanerjm.com