daniel chigunwe
Enacy Mapakame
Over $500 billion was wiped off the Zimbabwe Stock Exchange (ZSE) as the market retreated further into the red during the week, post the announcement of macroeconomic measures by President Mnangangwa.
The measures include the suspension of lending by banks with immediate effect and the increase in capital gains tax to 40 percent for shares held for less than 270 days and 20 percent for shares held more than 270 days.
By end of the week to Wednesday, as the market’s total value had retreated by 14 percent to $2,99 trillion from $3,4 trillion in the previous week.
The primary indicator the ZSE All Share Index went down 13 percent to 24 117 points from 27 839 points.
The market’s heavies, the ZSE Top 10 Index fell the heaviest with a 15 percent decline to 15 700 points while the ZSE Top 15 fell 14 percent to 17 400.
At 41 718 points, the Medium Cap was 8 percent below prior week level.
The Small Cap however recorded marginal gains of 0,19 percent to 579 021 points.
Property firm, Mashonaland Holdings was the biggest casualty with a 33 percent decline to $3,66 from $5,52 followed by Axia which gave up 26 percent to settle at $130,16.
Art backtracked 25 percent to $21,58 from $28,80. Telecoms giant, Econet went down 24 percent to $220,33 while EcoCash completed the top five fallers for the week after it decreased by 20 percent to $125,07.
Other losses were seen in FMP which lost 19 percent to $8,06 while retail giant, OK Zimbabwe gave up 15 percent to $49,72.
Further losses were offset by gains in media group, Zimpapers which put on 19 percent to $5,25 followed by NTS which rose 16 percent to $16,12.
Insurance giant, FML added 9 percent to $21,80 while banking group FBC advanced 7 percent to settle at $75,07.
At $26, mining and agriculture implements supplier Zimplow wrapped the week’s top five risers with a 6 percent increase to $26.
Other gains were seen in Unifreight which rose 3 percent to $35 while financial services providers FCB and GetBucks rose by 1 percent each to close at $10,28 and $10,61 respectively.
Cables maker, Cafca remained flat as it reported volumes increased by a marginal 2 percent to 1 199 tonnes over prior year comparable period of 1 175 tonnes impacted by delays in getting regulatory approval to extend their barter deal with the Zimbabwe Electricity Transmission and Distribution Company coupled with exchange control delays in getting paid by Malawi customers which further affected export sales.
Also remaining flat were Afdis and CFI which closed at $368,03 and $230.
On the ETFs, the Morgan and Co ETF advanced 6,5 percent to $22,37 on 264 units, as the Old Mutual ETF let go 4,3 percent to $9,98 while, the Datvest ETF eased 5,6 percent to $2,14 by close of Wednesday session.
Elsewhere on the VFEX, Bindura traded 24,942 shares worth US$1,184 and closed at US4,75 cents.
Caledonia remained flat as the resources group reported 40 percent increase in gold production for the first quarter to March 31, 2022.
Bongani Ndlovu