Published by the government of Zimbabwe
Bright Madera
10 November 2009
Harare — THE industrial index rallied a further 5,5 percent at week end to close the week solid at 157.98 points as investor confidence returned to market after MDC-T suspended its "disengagement" from the inclusive Government.
MDC-T party led by Prime Minister Morgan Tsvangirai had partially pulled out from the inclusive Government three weeks ago, forcing stock market investors to sit on the fence.
On the last day of trading last week the industrial index gained 8.95 points compared to week ending 30 October 2009 as the mining index jumped 24.49 points (13.44 percent) compared to the previous week.
Before last week gains, previous losses over the one-and-half weeks had culminated into the industrial index and the mining index shedding off by 17,23 percent and 23,35 percent respectively.
Having gone through one-and-a-half weeks of down fall on the back of sell offs, bearish trading has started to ease off ahead of companies with August year ends releasing their results.
Widespread gains were recorded across board, with only two counters trading in the red.
Twenty-eight counters were in the positive territory.
Celsys led the risers with a record 80 percent at US18c, Radar was a modest 25 percent up at US25c.
However, the day belonged to the banking sector with Barclays and ZBFH inching 20 percent up at US12c each, FBCH heaved 18 percent to US3.55c, while CBZ added 12 percent to US19c.
Other notable risers included Seed Co inching 12 percent to an all time high of US112c, Hippo also reached its peak of US110c up from Thursday's price of US100c. Natfoods added five percent to US116c.
Hotelier African Sun was a modest 10 percent up at US8c. The group is expected to release its full year results soon.
The group will soon be on the market to raise US$25 million for its refurbishment exercise and they would be officially opening Chundu five-star lodge in Zambia, which it recently acquired.
TA Holdings and Afdis traded nine percent and one percent down at US60c and US20c respectively.
The resources bourse recorded solid gains at weekend, also following investor confidence.
Hwange and RioZim were up seven percent each at US30c and US300c respectively.
Bindura surged 4 percent to US26c. Falgold was the only mining counter trading in the red down nine percent at US10c.
The Zimbabwean market has become highly reactive to the politics in the country. Each time there is prolonged calmness and indications of a solution it tends to perform well.
For the last minute opportunist last week was the ideal time to pick up on battered counters in anticipation of a market correction in the medium-term.
In the short-term, however, market analysts anticipate the market to trade squarish, held back by the constrained market liquidity.
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