ZSE shares remains choppy but manage to eke out gain

HARARE, August 27, (The Source) – Zimbabwe Stock Exchange shares traded choppy on Tuesday but managed to eke out a small gain as the market continues to await the announcement of a cabinet, which will help shape out the new government’s policy direction.

President Robert Mugabe is expected to announce the new cabinet early next week. He is also expected to announce the set-up of a new Economic Planning Commission which will have powers to influence policy and to coordinate from one centre.

The Industrials Index gained a marginal 0.15 percent to 183.80 points although analysts expect the market to continue exhibiting signs of weakness due to a lack of confidence in a ZANU-PF government.

The Mining Index was unchanged at 48.15 points. Sentiment continued in the negative for Barclays, which was down 0.2 cents to 3.3 cents in a $20 trade after Mugabe threatened to ‘impose sanctions’ on British and American firms in retaliation to the restrictions placed on Zimbabwe by their governments. BAT was unchanged at 1000 cents.

Delta lost 0.01 cents to 111 cents with most analysts predicting a fall towards the 90 cent region, while Econet was down 0.5 cents to 49.5 cents.

CFI fell 2 cents or 33.33 percent to 4 cents, a 52-week low as the group continues negotiations over a possible equity transaction for its poultry division. Major shareholder in the group, ZHL, was down 0.23 cents or 17.29 percent to 1.1 cents.

NicozDiamnod was 0.1 cents lower to 1.6 cents ahead of its interims.