Market Comment - 19.10.2021

ZSE edges higher... The ZSE edged higher in Tuesday’s trades as three of the benchmarks under our review closed the day in black. The All share Index surpassed the 11000pts mark, after ticking up 2.95% to close the day at 11120.98pts bringing the year-to-date gains to +322.95%. The blue-chip Index ticked up a further 3.60% to 6849.10pts while, the segregated Industrials were 2.98% up at 36790.54pts. On the contrary, the natural resources Index was the only laggard amongst the indices as it lost 0.48% to 7124.91pts. Headlining the winners pack was Cassava that surged 20.64% to $37.9494 post a twelve-day trading suspension. Beverages group Delta advanced 8.60% to $152.4009 while, Axia was 8.17% firmer at $44.4955. Truworths put on a 6.12% to trade at $2.6000 while, African Sun capped the gainers pack on a 6.12% rise to $10.0000. BAT led the laggards of the day as it eased 20% to $229.2550 while, property concern Mashonaland shed 7.40% to settle at $4.0217. Sugar manufacturer Hippo gave up 5.67% to close the day at $271.5122 while, the duo of banking groups in CBZ and ZB tumbled 4.94% and 2.94% as the former closed at $92.0207 while, the latter traded at a vwap of $82.8056. Activity aggregates were mixed as volumes exchanged went down 17.34% to 4.34m shares, yielding a value outturn of $236.03m which was 32.88% up from yesterday. Star Africa and Axia led the volume aggregates with a combined contribution of 35.45%. Innscor led the value aggregates pack on a 21.37% contribution, followed by Delta, Simbisa, Axia and National foods which had 17.21%, 12.86%, 11.91% and 9.23% respectively. Elsewhere, on the VFEX Padenga declined 10.20% to settle at US$0.2200 while, no trades were recorded in SeedCo International. The Old Mutual ETF was up 0.10% to $4.0000 as 39,930 units exchanged hands.