Market Comment - 20.10.2021

Positive trajectory continues... The positive trajectory on the ZSE continued in the mid-week session, sustained mainly by firming demand in heavies. Resultantly, the Top Ten rose 4.57% to 7162.15pts with the primary All-Share Index extending 3.58% to settle at 11519.56pts. The Industrial Index put on 3.60% to 38115.37pts with the Minings rebounding on a 1.66% lift to close at 7243.18pts anchored by recovering Bindura. Cassava Smartech topped the gainers’ list for the second consecutive session on a 19.24% surge to $45.2526 as Dairibord trailed on a 15.94% jump after releasing a trading update in which its sales and revenue went up 78% and 165% respectively during the quarter. Conglomerate Meikles grew 13.78% to $163.5148 while, Nampak advanced 13.73% to $12.6045. Zimplow capped the top five winners’ pack at $24.8231 after soaring 12.83% on scrappy 1,300 shares. Banking group FBC Holdings led the fallers of the day on a 5.97% loss to $30.0910, followed by Proplastics that dropped 3.06% to $34.9000. Medtech and Ariston Holdings shed 2.51% and 2.40% to close at $0.2056 and $3.6089 respectively. Hotelier Rainbow Tourism Group completed the top five decliners of the day with a 2.30% fall to $5.6600. Activity aggregates improved as volume of shares traded rose 48.80% to 6.46m and turnover increased 30.25% to $307.42m. The volume leaders in the respective order were First Capital (16.89%), Medtech (14.47%), Turnall (11.55%), Axia (10.42%) and Econet (8.86%). Delta, Econet, Innscor and Meikles accounted for a combined 71.44% of the value outturn. Foreign participation were net sellers in the session as foreign sales amounted to $86.52m while, buys stood at $11.19m. Elsewhere, on the VFEX, no trades were recorded in both Padenga and SeedCo International. The Old Mutual ETF traded 715,968 units as it went up 0.02% to $4.0008.