The Zimbabwe Stock Exchange (ZSE) put an end to trade at 12:10 today to “cool off” as the “hot” bull continues to flame. This was done after the ZSE All Share index surpassed the 10% gain mark.
Finally, the primary index rose 11.05% to settle at 136,075.06 points.
This comes as the Zimbabwean dollar depreciated by 42.55% against the greenback to $3,673.77 at Tuesday’s weekly auction as authorities are slowly following the principles of a Dutch auction system.
“The month of May saw further destabilization of the local currency despite liquidity management tools that had been deployed in the prior month such as the gold backed digital coins,” IH Securities said in a recent report.
“The official rate on the auction fell by 85% to the dollar whilst interbank rate weakened by 87% during the month of April as monetary authorities rapidly devalued the local currency to close a widening gap with the parallel rate.
At peak, the parallel market premium within the month was 135%, then closing the month at 91% on commencement of a refined Dutch auction system.”
At the close of transactions, Edgars, Afdis, CBZ, Hippo and Zimplow gained 15% apiece to close at $65.55, $1283.40, $1406.45, $2116.00 and $98.90 respectively.
On the other side of the coin, Zimpapers was down 15% to $8.50. RTG fell 3.96% to $68.00.
Investors’ wealth on the local bourse was up 9.91% to $11 trillion.
Market turnover declined 16.35% to $4.48 billion.
Morgan & Co Multi Sector ETF recovered $9.0000 to close at $95.0000. Morgan & Co Made In Zimbabwe ETF added $0.5602 to close at $4.3700 and Cass Saddle Agriculture ETF gained $0.5100 to $3.9600. Datvest Modified Consumer Staples ETF added $0.1744 to $6.8100 and Old Mutual ZSE Top 10 added $0.3398 to $26.3500 – Harare