ZSE shares wallow in negative territory

Published: 14 August 2013

ZSE shares remained in the red at the start of the holiday shortened week on Wednesday with heavyweight counters losing considerable ground.

There were significant losses across all sectors on the board with the current June earnings data failing to provide fresh impetus on the market.

The Industrials Index dropped 4.91 points or 2.50% to 191.11 on the back of losses in heavyweight counters Delta, Econet and OK Zimbabwe.

The mainstream Industrials trimmed its gains in the year to just 25.40% while the resources sector is now 13.74% in the red since January.

Delta eased 5c or 420% to 114c trimming its gains in the year to just 14% while its market cap eased to just $1.399 bin from as high as $1,927 bin when the price reached 157c on June 11 this year.

Telecoms giant Econet dropped 1c or 1.85% to 53c while BAT dropped 70c to close at 1400c having traded at 1475c at its peak early this month.

OK Zimbabwe traded 1c or 4% weaker at 24c while dual listed counters Old Mutual and PPC dropped 10c and 5c each to 240c and 215c respectively.

The Minings Index also dropped 1.77 points or 3.05% to 56.17 points as Bindura led the top fallers, shedding a significant 0.65c or 26.53% to 1.8c after reports that AIM-Jisted Mwana Africa Pic says it has successfully revised its mining plan at Zimbabwe-based Bindura Nickel Corporation following the continued fall in international nickel prices.

Daily market turnover eased to $3,370 million on a volume of 9.940 million shares against last Friday's $4,321 million on a volume of 85.82 million shares.

There were only 3 counters to trade in the positive with Dawn leading the top risers after advancing 0.09c or 10% to 0.99c whle bankers FBC gained 0.50c or 5.56% to 9.5c. Mash traded 0.05c or 1.75% firmer to 2.9c.

Bankers CBZ traded unchanged at 15c amid reports that the bank is holding on to Caps Holdings head office after it emerged that last month's auction of the attached property was reversed.

Other top fallers included cement manufacturer Lafarge which eased a significant 30c or 22.22% to 105c and Colcom dropped 2c or 6.25% to 30c. Barclays eased 0.20c or 4.76% to 4c. DZHL and Seedco dropped 1c each to 20c and 80c respectively.

The Datvest All Share Index dropped 3.52 points or 2.67% to 128.18 while the FBC ZSE-10 Index was 3.60 points or 2.67% in the red at 130.94.

The Property Index was the only sector to manage gains out of the 12 sectoral indices on the Zfn board rising 2.65 points or 2.52% to 107.94 largely on gains in Dawn Properties and Mash.

Bindura's 26.53% fall saw the Mining Index losing a significant 2.26 points or 8.70% to 23.71 while the Manufacturing Index was 4.61% in the red at 232.93.

- zfn