EFE Securities •
2 years ago •
Market Commentary
Market Comment - 09.05.2022
ZSE starts week lower... The market retreated further into the red in the week opener, post the announcement of macroeconomic measures by the President. The measures include the suspension of lending by banks with immediate effect and the increase in capital gains tax to 40% for shares held for less than 270 days and 20% for shares held more than 270 days. The Ministry of Finance is still to advise the capital market on how the capital gains tax will be calculated and implemented. The primary All Share Index trimmed 1.85% to 26693.75pts while, the Industrial Index retreated an almost similar 1.86% to 88051.69pts. The ZSE Top Ten Index slipped 2.56% to 17582.30pts while, the Mid Cap Index was the only riser with a marginal 0.27% gain to 44666.56pts. Apparel retailer Truworths led the laggards of the day after succumbing to 14.94% to close at $1.7125, trailed by African Sun that shed 13.46% to $11.6941. Mashonaland Holdings came off 13.41% to end pegged at $4.2714, as hotelier RTG tripped 12.50% to settle at $7.0000. Capping the top five decliners of the day was CBZ that let go 3.65% to $157.0500. The positive movers of the day were headlined by Tanganda that jumped 13.55% to close at vwap of $272.5314. Following was National Tyre Services which added 7.50% to trade at $16.1250. Banking group FBC put on 6.88% to $75.0500, having touched a YTD high of $80.0000. Brick manufacturers Willdale rose 5.55% to $4.0000 as Unifreight improved 4.41% to end at $35.5066. Activity aggregates were depressed in the session as volumes dipped 87.09% to 0.84m shares while, turnover dropped 62.69% to $160.77m. The top traded stocks by volume were Tanganda, Delta, Econet and Innscor that claimed a combined 89.75% of the outturn. Tanganda and Delta anchored the value aggregate with respective contributions of 33.21% and 10.47% apiece. All the three ETFs closed the day in the red as the Datvest ETF emerged the major casualty with a 12.46% slump to $2.2995, followed by Morgan ETF that lost 8.76% to $20.5310. The Old Mutual ETF was down 6.57% at $10.2031.