ZSE's Industrial index in quiet session, Bindura spurs mining recovery

Harare, November 16, 2011 - The Zimbabwe Stock Exchange (ZSE's) Industrial Index closed the day marginally lower easing -0,03 percent at 145.22 points ahead of the 2012 National Budget to be presented this Thursday.

Volumes were depressed across the board falling to 9,1 million as the market traded just US$504 716 worth of deals.

Sluggish trading on the local bourse is attributable to low appetite for ZSE shares by foreign investors coupled with limited participation by local institutional investors as the year draws close to an end.

Foreign investors were net sellers having bought US$99 348 worth of shares against sales of US$149 485.

The local bourse which has been on a down ward trend since June has seen a number of companies trading at 52-week and historical low prices, is now presenting opportunities for bargain hunters.

The financial results released so far have failed to steer the market on a sustained recovery despite encouraging growth stories from the reporting companies.

Ariston Holdings Limited (Ariston) slipped -15 percent to 52-week low of 0,85c weighed down by the fact that it is trading under a loss warning. CBZ Financial Holdings Limited (CBZ) lost -7,69 percent to 12c on thin trades as AICO Limited eased -4,76 percent to 20c ahead of interims.

Pearl Properties Limited, which has been one of the most actively traded stocks over the last two weeks, is retracing its way down easing -6,25 percent to 3c as Padenga Holdings Limited (Padenga) lost 5,45 percent to 5,2c.

Most heavy cap counters traded unchanged Delta Corporation Limited (Delta) at 74,9c, Innscor Corporation Limited (Innscor) at 58c, SeedCo Limted at 105c while ABC Financial Holdings Limited and Barclays Bank Zimbabwe Limited were also stable at 65c and 5c, respectively.

Econet Wireless Zimbabwe Holdings Limited (Econet) recovered +1,37 percent to 370c.

Fidelity put on an impressive +12,14 percent to 15,7c, Pelhams was 10 percent higher at 0,66c while TSL added +6,25 percent to 8,5c.

A 5.,79 percent gain in Bindura to 5,3c saw the Mining Index recover +0.35 percent to 121.83c but remains significantly entrenched in the negative with the YTD performance having lost -39,21 percent since January.

Rio was buyers lower at 38c and offered at 60c with no trades.

Post published in: Business

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