ZSE last week closed with price gains
During the past week, the Zimbabwe Stock Exchange (ZSE) was characterised by price gains across most counters, supported by significant volumes.
Platinum Securities in their weekly review said; “We noted this significant change in equity prices and volumes on the back of inflationary pressures driven by the implementation of new tax measures introduced by the Government, as well as the significant depreciation of the local currency against the USD.”
On the parallel market, the USD is now going for an average of $15,000 compared to an average of $9,800 at the official market as at January 1, 2024.
“In the coming week, we expect this trend to persist on the back of the above-mentioned factors,” they said.
However, on the VFEX, Platinum Securities believes trading activity is expected to remain subdued on the back of low levels of investor participation on the VFEX arising from competing demand from numerous USD denominated assets and low foreign investor participation.
As a result, the ZSE All Share Index was bullish, closing the week with 33 gainers against three fallers resulting in the index gaining by 30,14 percent from 330,362.83 points in the prior week to 429,924. 86 points.
Market turnover for the week was $35,6 billion from $23,3 billion in the prior week led by Delta and Econet which contributed $24,3 billion and $6,01 billion respectively.
On the ETFs, three out of the five listed counters closed in the green with Old Mutual Top 10 leading the risers after gaining by 50,07 percent to $7,500 cents. Morgan and Co Multi-Sector, was the sole losing ETF counter during the week, was down by 2,72 percent to close at $500.00.
The VFEX All-Share Index was up by 2,98 percent to 98,68 points after recording gains from six out of the nine counters that traded during the period under review. SeedCo International led the gains after rising by 20,00 percent to US28.80 cents.
African Sun, the biggest losing counter of the week, was down by 12,50 percent to US3.50cents compared to US4.00 cents in the prior week.-ebusinessweekly
