May 2004 Financial News

Arbitrage Opportunities Vanish

May 07, 2004

The JSE Composite Index fell for the third straight day eliminating most of the opportunity for arbitrage gains between the Jamaica and Trinidad and Tobago markets.

CCMB fell JA$2.15 yesterday and then a further 86 cents today even though it went up 15 cents on the TTSE today. NCBJ is trading almost a par in both markets as it is at JA$28.00 on the JSE compared to $2.80 on the TTSE. JMMB is also now trading at par on both markets and RBTT has fallen on the JSE to JA$424 which works out to be lower than the $43.50 on the TTSE.

According to the Bank of Jamaica the latest currency conversion for JA to TT is a selling rate of 9.6767 to 1.