Tanzania: Blocks Trading Push Up Dse Turnover

DAR ES SALAAM Stock Exchange (DSE) has been boosted by block trades which disappeared in the recent weeks pushing down considerably equity market turnover.

The bourse equity market bounced back with a bullish performance contributed by two block trades from Vodacom and TBL with a turnover of 2.595bn/- for the week ending last Friday compared to 0.25bn/- of the previous week.

Zan Securities Chief Executive Officer Raphael Masumbuko said in the firm's Weekly Market Wrap-Ups that the exchange noticed a strong appetite for the TBL and Vodacom shares as foreign investors dominated the market.

"We anticipate the equity market continues to be volatile, which parallels the attentiveness of investors as they attempt to capitalise their investments on our exchange this coming week," Mr Masumbuko said.

The foreign investor's participation during the week under correspondence was 81.37 per cent compared to domestic investors 18.63 per cent.

Vodacom dominated last weeks market share by 46.49 per cent, the runner up was TBL at 39.04 per cent followed by Jatu and CRDB at 6.49 per cent and 5.65 per cent, respectively.

"Jatu counter continues to trend despite its share price taking a drastic detour from the previously appreciation spike recorded after commencement," he said.

Price movement was recorded on two domestic traded equities. Unfortunately, both movements were downwards as Jatu share price depreciated by 21.36 per cent to end the week at 810/- per share and CRDB lost 1.96 per cent to close at 250/- per stock.

Vertex International Securities on its weekly report that the equity market performance flattered with recovery last week, but fell short as an increase in turnover and volume failed to push up prices.

"Jatu seemed to have lost its previous week's momentum. We think prices might catch up [this] week if the turnover and volume continue with this week's momentum," Vertex said in the report.

All Shares Index (DSEI) gained 0.76 per cent to close at 1,989.64 points while Tanzania Shares Index (TSI) lost 0.18per cent to close at 3,615.98 points.

Banks, Finance and Investment (BI) lost 0.65per cent to close at 2,505.06 points due to a decrease in CRDB's price.

Industrial and Allied (IA) closed at 5,007.98 points, down by 0.08 per cent as Jatu posted a huge decline. And, Commercial Services (CS) closed at 2,138.49 points same as last week.

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