EFE Securities •

3 years ago •

Market Commentary

Market Comment- 08.04.2021

Waning demand drives ZSE lower… The southward trajectory persisted on the bourse in Thursday’s trades taking the losing streak to three consecutive session. Persistent sell-offs across the board helped drive the market lower, to see three of the benchmark indices in our review, close in the red. The mainstream All Share Index lost 1.86% to settle at 4280.98pts with the old Industrials easing 1.93% to 14038.10pts. The Top Ten succumbed 1.92% to end at 2474.82pts while, the less active Minings were 2.08% firmer at 5489.38pts. Weighing on the market’s session was a set of twenty-six losers led by property concern FML that plunged 11.72% to $15.36000, followed by Zimre Holdings and Art which lost 10.22% and 7.73% to close at $2.0650 and $5.5313 apiece. Conglomerate Meikles eased 5.98% to $43.0000 while, Turnall dropped 5.97% and completed the top five loser’s set. Other notable losses were seen in Econet -3.71%, Delta -3.46%, Cassava -3.06%, Simbisa -3.01%, OKZim -2.13%, Padenga -2.01% and Hippo -2%. Countering losses for the day were gains in nine stocks led by sugar refiners Star Africa which rebounded 10.97% for to close at $0.4996 on resurgent demand. Apparel retailer Truworths trailed after ticking up 8.44% to close at $1.0436 while, Banking group NMB added 3.48% to $9.5010. Nickel miner Bindura added a further 2.70% to settle at $4.9296, having reached an intra-day high of $5.0000 with hotelier RTG wrapping the top five gainers’ list after putting on 1.44% to end at $1.9512. Volumes exchanged ballooned 144.45% to 22.6m shares yielding a value outturn of $338.93m which was 147.33% up on yesterday. FML was the most sought-after stock of the day as it anchored both the volume and value aggregate, claiming 88.18% and 91.16% respectively. Foreign purchases were a mere $0.70m against disposals of $7.50m, as the market registered a negative balance of payments.