Econet boost turnover in thin trading

The gains on the Zimbabwe Stock Exchange (ZSE) in the Industrial Index yesterday proved short-lived with bearish sentiment descending on the local boss as the Industrial Index closed -0,58 percent lower at 154.82 points.

Most heavy cap counters headed southwards with AICO Limited easing -3,37 percent at 24,50c, Old Mutual Limited lost -2,60 percent at 150c, SeedCo Limited dropped -1,64 percent (-2c) at 120c while CBZ Financial Holdings Limited and Murray & Roberts (Zimbabwe) Limited (M&R) shed -3,68 percent and 6,25 percent to 13,1c and 15c, respectively.

Trading was much thinner in the session as volumes traded declined -83 percent to 3,9 million shares from 23,9 million recorded previously.

Turnover however improved to $1,7 million buoyed by foreign trades in telecommmunications giant Econet Wireless Zimbabwe Holdings Limited.

Econet alone accounted for 55 percent of total turnover after 237 767 shares exchanged hands with initially trades going through at 405c and finally closing at 400c (-1,96 percent down).

As a result, foreign investors were the dominant players on the local bourse after selling $1 167 475 worth of shares and purchasing $878 584 worth of shares.

Mining counters defied the odds as Hwange Colliery Company Limited led the charge putting on 9,39 percent to 60c while fellow resource counter, Bindura Nickle Corporation Limited put on 5 percent to close at 4,62c.

Rio Zimbabwe Limited added a marginal +0,02 percent to 59c to see the ZSE's Mining Index advance an impressive 7,14 percent to 153.39 points.

Significant volumes were seen in Hwange Colliery Company Limited were 318 205 worth $190 923 traded while RioZim has seen its best month in terms of trading volumes.

In the day’s trades 201 594 shares exchanged while for this month of September alone a record total of 2 683 991 shares have exchanged hands in trades worth $1 70 158.

This excessive supply of shares in the market has seen the mining giant lose -34 percent this month alone.

Uncertainty still hangs over the recapitalisation of RioZim which has been dragging on for over a year.

Post published in: Business

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