Market Comment - 19.05.2021

Market stretches losses … The mid-week session was characterized by extended losses from yesterday as profit taking took its toll across the board. Resultantly, the mainstream All Share Index dropped 1.80% to close at 5471.21pts with the Industrials easing a further 1.84% to end at 17964.38pts. The Top Ten Index was the major casualty amongst the Indices as it dipped 2.45% to settle at 3114.07pts. The Minings were the only index to close in the positive as it rose 0.58% to close at 6492.88pts. Leading the laggards of the day was construction group Masimba which slumped 14.62% to $19.5766, where demand could be found. Banking group ZB lost a further 9.09% to reach $50.0000 on scrappy 100 shares. FMP was 8.11% down at $8.4543, reversing its prior session’s gains with conglomerate Innscor sliding 7.62% to $82.8276. Fintech group Cassava rolled back to $16.8326 on a 6.77% drop and completed the top five losers set. Other losses were registered in Delta, Econet, OKZim, Simbisa, Hippo and Axia. Overall, the market recorded a negative breadth as twenty four counters lost ground against sixteen that went up while, five remained unchanged. Topping the winners of the day was Getbucks which surged by a further 20% for the third consecutive session, as the banking group reached an all-time high of $1.2450. Mining house RioZim was 11.82% higher at $24.6000 while, Art corporation rebounded 11.46% to close at $8.9583. Property concern Mash was 6.50% firmer at $3.4665 with the insurer FML adding 6.37% to $24.9990. Activity was mainly confined to few selected counters namely FML, Masimba and Econet. The trio anchored both the volumes and values of the day on a combined 66.52% and 81.24% respectively. Foreign purchases claimed 19.53% while, sales added 24.71% of the day’s turnover.