Bears are having a picnic at the Zimbabwe Stock Exchange as it slipped further into the red, shedding nearly ZWL$400bn in market value in the past seven days, Business Times can report.
The bourse’ market capitalisation closed yesterday at ZWL$2.6 trillion from ZWL$2.9 trillion. Two weeks ago, nearly ZWL$500 bn was wiped off the ZSE from ZWL$3.4 trillion.
Multiple analysts said the stocks have been hit particularly hard by recent government measures announced to deal with rising inflation and the plunging Zimbabwe dollar.
And the stunning market decline is raising alarm bells.
The All-Share index lost 487.20 points to close at 20 986.91 points. National Foods led the shakers ZWL$133.33 to close at ZWL$2 066.67 while Econet Wireless Zimbabwe eased ZWL$10.30 to close at ZWL$184.97.
Meikles dropped ZWL$10.08 to end at ZWL$180.
Simbisa brands also shed ZWL$7.25 to end at ZWL$219.26 while Ecocash Holdings was ZWL$6.85 weaker to end at ZWL$103.18.
However, Tanganda Tea Holdings gained ZWL$3.62 to close at ZWL$230.00. Other gainers were Dairibord Holdings Limited and Lafarge Zimbabwe, which rose ZWL$2.09 to ZWL$52.09 and ZWL$0.95 to ZWL$151. Turnall also traded ZWL$0.42 stronger to close yesterday at ZWL$6.42.
The market heaviest, the Top 10 index dropped 1.50% to close at 14 494.55 points while penny stocks or the Small Caps index eased 2.67% to close at 514 446.77 points.
“The downturn has been swift and sudden following the pronouncements by the President recently,” an investment manager, who requested anonymity, told Business Times yesterday.