ZSE Market Commentary 06 February 2024

ZSE eked out gains as Government announces plans to introduce a new structured currency …

The government yesterday announced plans to introduce a new structured currency in a bid to curb the runaway exchange rates. The move has created both negative and positive effects in the market as reflected by bids from buyers who want to dispose excel ZWL, while others have been gripped by panic selling in a bid to lock the gains achieved in the prior sessions as asset repricing could kick in. The ZSE primary All Share Index rebounded 1.42% to 559,065.53pts while, the Blue-Chip Index gained 1.67% to 248,833.87pts. The Agriculture Index added 3.23% to 1,572.55pts while, the Mid Cap Index went up 4.03% to 2,120,082.82pts. Zimpapers headlined the top performers of the day on a 26.53% surge to close at $62.0000. Banking group CBZ, NMB and TSL surged a similar 15.00% to settle at $8,993.0000, $2,266.6000 and $2,017.7500 respectively. Conglomerate ART completed the winners of the day on a 14.70% uplift to end the day pegged at $119.0000.

On the contrary, telecoms giant Econet led the laggards of the day on a 14.95% drop to $2,527.4815 followed by seed producer Seed Co that slipped 6.64% to $2,799.9781. Proplastics retreated 5.94% to $1,599.0000 while, Zimre Holdings Limited declined 4.82% to $220.0139. General Beltings capped the fallers of the day on a 4.72% slid to $150.0000. Activity aggregates enhanced in the session as volume traded ballooned 701.85% to 7.80m shares while, value traded grew 122.31% to $5.62b. The top volume drivers of the day were Zimre Holdings (66.89%), Ecocash Holdings (12.39%) and OkZim (7.58%). The trio of Delta, Zimre Holdings and Econet contributed a combined 66.48% to the total value traded. Other top value drivers of the day were Ecocash (13.06%) and OKZim (9.70%). In the ETF section, Morgan and Co Multi Sector and OMTT ETFs dropped 0.02% and 0.08% to $530.5000 and $99.0538 respectively. Cass saddle ETF grew 3.31% to $7.8000 while, Datvest ETF advanced 12.12% to $19.2961. MIZ ETF inched up 2.67% to close at $14.3734. -efesecurities