AfricaPress-Tanzania: THE Dar es Salaam Stock Exchange (DSE) total market turnover plunged almost 90 per cent in seven days, but analysts are optimistic that the outlook stays afloat.
The market turnover plummeted for almost four month during the mid-coronavirus pandemic to 132.81m/- from 1.29bn/- of the previous week.
Tanzania Securities’ Weekly Market Blast said despite turnover plunging both total market and domestic market capitalisations closed the week up.
“[This] week, the outlook stays afloat, despite a decline in market activities during the previous week,” the report showed.
The total market cap rose by 1.15 per cent to 14.88tri/- from 14.71tri/- in the previous week, while domestic cap by 0.21 per cent to 9.18tri/- from 9.16tri/- despite the decline in the market turnover.
The Tanzania Share Index (TSI) added 7.36 points to close the week at 1,792.90 points, while the All Share Index (DSEI) gained 20.43 points to close the week at 1,792.90 points.
Orbit Securities said via Weekly Market Synopsis local investors accounted for 99.28 per cent of total investments during the week and 49.71per cent of divestments while foreign investors accounted for the balance.
“Local investors were still dominant in the market and split almost half with foreign investors in divestment,” Orbit said.
Zan Securities Weekly Market Wrap-Ups said they expected the trend to continue recording positive performance this week despite a decrease in volume.
“We expect the trend to continue next week,” the report said yesterday.
The points added to the TSI resulted from the 9.09 per cent appreciation on the Twiga Cement (TPCC) counter from a price of 1,980/- during the previous week to 2,160/- during the end of the week under review.
The appreciation of the price of Twiga was large enough to offset the 3.03per cent price decline on the CRDB counter. CRDB traded 0.56 million shares during the week, at a weighted weekly average of 159.64/- per share.
Cross listed counters that moved the DSEI upwards were National Media Group (NMG) which grew by 10.2 per cent and KCB Bank which grew by 7.04 per cent. Jubilee Holdings (JHL) declined marginally by 0.85 per cent despite positive half year results. Kenya Airways remained constant due to trading suspension.
