ZSE’s fall continues as heavy caps suffer

ZSE’s fall continues as heavy caps suffer

HARARE, October 14 (The Source) – The Zimbabwe Stock Exchange’s downward trend continues after it registered a decline for the seventh consecutive month in September, with market capitalization falling 3,10 percent to close at $3,63 billion, a securities firm has said.

In its monthly update, IH Securities noted that ZSE’s benchmark industrial index fell 2,58 percent to 131,93 following significant losses in heavyweight counters.

Zimbabwe’s largest company by market capitalisation, Delta Corporation, lost 2,34 percent in the period under review while mobile giant Econet went down 4,64 percent and Innscor shed 0,84 percent.

Mid-cap counters also found it tough in September with Zimplow registering a 33,33 percent decline while African Sun, Radar and Meikles all fell 20,80 percent, 17,33 and 16,67 percent respectively.

“The Mining Index lost a significant 31,07 percent, weighed down by a 50 percent loss in Bindura Nickel Corporation,” IH Securities said.

However, it wasn’t all gloomy on the local bourse as top gainers for the month included Falcon Gold, which went up 25 percent, while Fidelity Life gained 15,38 percent and CFI Holdings edged up 13 percent.

Construction implements maker Turnall saw its share prices jumping 11,11 percent and Dairibord Zimbabwe Limited Holdings was up 10,93 percent.

IH Securities said activity improved in September with turnover rising 13,04 percent month-on-month to $17,37 million

“Average daily trades in September came in lower at $0,79 million however, due to less trading days in August,” the equities firm said.

Heavyweights made the biggest contribution to total value traded, with Delta and Econet contributing 33,87 percent and 25,72 percent respectively.

“Mid-caps weighed in with CBZ and National Foods contributing 10,85 percent and 5,85 percent. Total volume traded rose 37,26 percent to 104,68 million shares,” said IH Securities.