Industrials narrow YTD gain as heavyweights slide further

The effects of the indigenisation laws continue to take toll on the equities market on the Zimbabwe Stock Exchange as bearish sentiments persisted to see the market close -0,86 percent in the negative at 155.52 points narrowing the Year-To-Date gain to just +2,81 percent.

The equities market which has become more integrated with global markets because of the multicurrency regime, has off late been negatively affected by the global economic slowdown and fears of a possible double dip.

Consequently, foreign investors have turned net sellers as they seek to reduce exposure to so-called risky frontier markets.

In today’s trades, foreign investors remained net sellers as outflows amounted to $796 540 against purchases of $439 063.

Total turnover improved 20,1 percent to $2,089 million as 24,7 million shares exchanged hands boosted by trades in Delta Corporation Limited, Nicoz Diamond Zimbabwe Limited, Econet Wireless Zimbabwe Holdings Limited and Innscor Corporation Limited.

Losses dominated today’s trading session with 16 counters heading southwards, eight recording gains while 52 were unchanged.

Beverages giant, Delta eased -1,41 percent (-1c) to close at a low price of 70c which it last traded at in April 2011 as foreign selling saw 767 000 units exchange hands in trades worth $537 535.

SeedCo Limited eased -2,40 percent to 122c, Innscor lost -2,19 percent to 62,50c while Old Mutual Limited slipped -3.3 percent to 155c. Pharmaceuticals group Caps Holdings Limited topped the gainers putting on +50 percent to 0,15c ahead of its delisting on Friday, September 30.

Border Timbers Limited was firm buyers at 45c after releasing its June finals while parent company Radar Holdings Limited was buyers at 20c with no offers.

Tobacco Associates Holdings Limited advanced +13,33 percent to 17c with an offer at 20c.

Insurance group, Nicoz Diamond put on +13,33 percent to 3,4c in normal trades while a special bargain of 11,5 million shares was executed at 3,5c in a trade worth $402 850.

The ZSE's Mining Index, on the other hand, lost a further -1,23 percent to 143.86 points widening its YTD loss to -28,21 percent.

Hwange Colliery Company Limited slipped -1,79 percent to 55c while Rio Zimbabwe Limited was mainly unchanged at 60c on a significant volume of 200 062 shares traded.

Post published in: Business

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