Mugabexit wipes $6 billion off ZSE

Mugabexit wipes $6 billion off ZSE
Published: 23 November 2017 (1424 Views)
The Zimbabwe Stock Exchange lost nearly $6 billion since military operation that forced former President Robert Mugabe to resign on Tuesday, with analysts saying investors were responding positively to prospects of microeconomic stability.

ZSE market capitalisation peaked at $15, 2 billion on November 14, the day before the military announced its intervention, but had come off to $9.5 billion yesterday.

The ZSE mainstream Industrials Index continued on a downward path, albeit at a slower rate as investors became hopeful of a change in economic conditions following the change in the country's leadership. Analysts also contend this is a price correction as positive sentiment also begins to set in.

Yesterday, the Industrials lost 5 percent to 329,63 on losses in the market's heavyweights. However, turnover for the day rose 384,63 percent to $12,419 million while volumes exchanged also ballooned 31 percent to 12,87 million shares.

The market's top capitalised stocks Econet and Delta were the most sought after for the day after claiming 76,56 percent and 16,76 percent of the volume and a combined contribution of 90 percent in value terms.

Foreign buys jumped 35,68 percent to $2,237 million. Trades were, however, still skewed on the sellers side due to wholesale selling by foreigners who are still jittery of the economic conditions. Resultantly, foreign sales rose 465 percent to $4,058 million by close of trade. Total market capitalisation remained on the downside after losing 4,97 percent of value to $9,451 billion.

The equities market had ballooned in the last two months becoming the best regional performer with 267 percent gains as at November 10, 2017 when the mainstream Industrials Index reached 531 level. However, in the past week after military intervention on the country's political scene, the market lost over $5 billion.

Leading the declines in yesterday's trades were regional cement maker PPC and dual listed insurance firm Old Mutual both lost 19,97 percent to close trade pegged at $1,76 and $5,93 respectively. Fast food group Simbisa Brands plunged 19,93 percent to 54,25 cents. The quick restaurant service provider is expected to hold its annual general meeting today.

Agriculture implements manufacturer, Zimplow Holdings and crocodile breeder Padenga Holdings retreated 19,9 percent to 6,65 cents and 19,75 percent to 65 cents respectively. Financial services group, Barclays Bank Zimbabwe was the only counter to trade in the positive after adding a marginal 0,36 percent to settle at 5,64 cents.

The Minings Index remained flat at 129,82 level after all the four counters Bindura, Falgold, Hwange and Riozim traded unchanged at 3,92 cents, 2,20 cents, 3,80 cents and $1,20 in that order.


- Fin Gaz

Tags: Mugabe, ZSE, Exit,
 0

You May Like These Videos

Comments

There are no comments.

Latest stories

Fixing Zimbabwe's 'fantasy economics'

by Martyn Davies and Hanns Spangenberg | 23 May 2018 | 55 Views

ZLHR challenges govt to implement the new constitution

by Stephen Jakes | 23 May 2018 | 58 Views

Blackdiamond releases new video and reveal new management

by Tidi Kwidini | 23 May 2018 | 51 Views

Obert Mpofu welcomes Kasukuwere

by Staff reporter | 23 May 2018 | 113 Views

Mugabe fails to appear before Mliswa

by AFP | 23 May 2018 | 101 Views

Zimbabwe govt needs to regain the trust of the people

by Staff reporter | 23 May 2018 | 46 Views

PHOTO: Shamu getting arrested photo goes viral

by Staff reporter | 23 May 2018 | 132 Views

Zimbabwe embarks on broadband connectivity upgrade

by Staff reporter | 23 May 2018 | 35 Views

Jonathan Moyo could be working for Mnangagwa, says Mawarire

by Staff reporter | 23 May 2018 | 70 Views

Mnangagwa paid a $2,000 bribe in Mozambique

by Staff reporter | 23 May 2018 | 98 Views

Councillors accused of vote-buying

by Staff reporter | 23 May 2018 | 65 Views

MDC poll demands outrageous, says Charamba

by Staff rpeorter | 23 May 2018 | 79 Views

BAZ to increase TV, Radio service coverage

by Staff reporter | 23 May 2018 | 60 Views

Zanu-PF warns party members against violence

by Staff reporter | 23 May 2018 | 63 Views

'Special anti-graft unit to reinforce Zacc operations'

by Staff reporter | 23 May 2018 | 60 Views

Khupe allies hits out at Chamisa's 'violent, vulgar' youths

by Staff reporter | 23 May 2018 | 81 Views

Confusion hits MDC-T primaries

by Staff reporter | 23 May 2018 | 61 Views

Mnangagwa heads back to Manicaland

by Staff reporter | 23 May 2018 | 78 Views

MDC Alliance's ballot paper demands slammed

by Staff reporter | 23 May 2018 | 60 Views

Police shoot two violent murder suspects

by Staff reporter | 23 May 2018 | 58 Views

Khupe, Chamisa parties to use same name, logo?

by Staff rpeorter | 23 May 2018 | 80 Views

Banking sector demands 60% pay rise

by Staff reporter | 23 May 2018 | 59 Views

Dembare players threaten strike

by Staff rpeorter | 23 May 2018 | 58 Views

Zec sends text messages to 3m registered voters

by Staff reporter | 23 May 2018 | 61 Views

Zimbabwen family in Johannesburg hostage drama

by Staff reporter | 23 May 2018 | 60 Views

Makamba trying to push Mlotshwa out of Telecel Zimbabwe

by Staff rpeorter | 23 May 2018 | 62 Views

MDC-T councillor arrested

by Staff reporter | 23 May 2018 | 79 Views

'Army won't let Chamisa rule Zimbabwe'

by Staff reporter | 23 May 2018 | 79 Views

Zapu urges people to physically inspect voters roll

by Staff reporter | 23 May 2018 | 27 Views

'Electorate misunderstood me,' says Tshinga Dube

by Staff reporter | 23 May 2018 | 33 Views

Chamisa, Khupe feud back to High Court

by Staff reporter | 23 May 2018 | 35 Views

Dlamini crowned Matebeleland North's Miss Tourism

by Staff reporter | 23 May 2018 | 46 Views

Mugabe to appear in parliament today

by Staff reporter | 23 May 2018 | 37 Views

Obert Mpofu to appear in court

by Staff reporter | 23 May 2018 | 41 Views

National Youth Service graduates defect to NPF

by Staff reporter | 23 May 2018 | 39 Views

Soldier gets 7 years for setting lover ablaze

by Staff reporter | 23 May 2018 | 32 Views

Zanu-PF youth plot Mnangagwa interface rally

by Staff reporter | 23 May 2018 | 36 Views