Bulls n Bears Daily Market Commentary : 05 May 2025

[Bulls n Bears]

 <http://www.bullszimbabwe.com> Bullszimbabwe.com
<mailto:bulls at bulls.co.zw> Views & Comments
<http://www.bullszimbabwe.com> Bullish Thoughts
<http://www.twitter.com/BullsBears2010> Twitter
<https://www.facebook.com/BullsBearsZimbabwe> Facebook
<http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn
<mailto:%20bulls at bullszimbabwe.com?subject=Unsubscribe> Unsubscribe

 

 	

 

 

 	

Bulls n Bears Daily Market Commentary : 05 May 2025

 

 	



 

 	


ZSE commentary

 

Losses persist on the bourse...

 

The market continued to lose traction in the new week as Econet and Delta
weighed on the bourse. The primary All Share Index lost 1.04% to 189.19pts
while, the Blue-Chip Index dropped 1.32% to 182.97pts. The Agriculture Index
fell 0.02% to 190.98pts while, the Mid Cap Index tumbled 0.19% to 234.50pts.
Telecoms giant Econet led the laggards of the day on a 7.06% retreat to
$2.7736 while, brick maker Willdale slipped 5.28% to $0.0379. Nampak parred
off 4.31% to close at $1.1000 while, beverages giant Delta trimmed 1.23% to
$13.0085. Tea producer Tanganda capped the top five shakers of the day on a
0.74% decline to $0.8506. Partially mitigating today's losses was Star
Africa that jumped 10.04% to $0.0220 while, FBC ticked up 0.80% to $7.6000.
Mashonaland Holdings Limited edged up 0.78% to settle at $0.9070 while,
banking group CBZ rose 0.53% to $7.0373. Ecocash completed the top
performers of the day on a 0.18% uplift to end the day pegged at $0.1302.

 

Activity aggregates enhanced in the session as total volume traded ballooned
613.07% to 1.34m shares while, turnover surged 4,099.17% to $8.79m. FBC was
the top traded counter by volume and value as it claimed 78.05% of the
former and 90.21% of the latter. A total of 4,030 units exchanged hands in
the ETF segment. The Datvest ETF traded 3,000 units at $0.0300 while, the
Cass Saddle ETF was also stable at $0.0900 on 800 units. The Tigere REIT
added 0.54% to end the day pegged at $1.1562 as 2,279 units exchanged hands
in the session.

 

 

VFEX rebounds in week-opener...

 

The VFEX market rebounded in the week opening session as the All-Share Index
put on 1.45% to 114.58pts. Zimplow headlined the top performers of the day
on a 16.96% jump to $0.0200, followed by fast foods group Simbisa that
notched up 13.65% to $0.3571. Axia added 10.95% to close at $0.0841 while,
banking group First Capital gained 4.79% to settle at $0.0503. Conglomerate
Innscor completed the risers of the day on a 0.23% lift to end the day
pegged at $0.4726. Trading in the negative territory was Padenga that
dropped 6.22% to $0.3002 while, seed producer SeedCo retreated 0.24% to
close at $0.2100.

 

Activity aggregates enhanced in the session as volume traded rose 4.13% to
481,419 shares while, turnover swelled 190.08% to $99,963.06. Top volume
drivers of the day were Axia (51.24%), Padenga (17.48%), Simbisa (13.72%)
and Innscor (12.91%). Innscor, Padenga, Simbisa and Axia were the top value
drivers of the day after contributing a shared 98.99%. efesecurities

 

 <mailto:info at bulls.co.zw> 

 

South Africa

 

South African rand hits five-week high lifted by Eskom's power outlook

(Reuters) - The South African rand strengthened on Monday to its highest
levels in five weeks, after state utility Eskom said it was optimistic about
the power outlook over the southern hemisphere winter, aiming for no
electricity cuts in the next four months.

Africa's most industrialised nation has experienced recurring power cuts for
more than a decade that have constrained economic growth.

 

Despite Eskom's efforts to significantly reduce outages from the record
levels seen in 2023, investor confidence remains shaky due to 14 days of
power cuts in January-April this year which Chief Executive Dan Marokane
described as a temporary setback.

At 1110 GMT, the rand traded at 18.2850 against the dollar , roughly 0.7%
stronger than Friday's close.

The greenback last traded slightly weaker against a basket of currencies as
investors awaited further details on U.S.-China trade relations, and the
Federal Reserve's policy meeting later this week.

 

Citigroup said it expected South Africa's rand to strengthen versus the U.S.
dollar, arguing that the real-rate premium in the continent's most
industrialised economy and firmer commodity exports will outweigh domestic
political jitters.

In a note to clients, strategists Bhumika Gupta and Luis Costa said they
expect the rand to strengthen to below 18 per dollar.

In contrast, Societe Generale strategists said in a report that domestic and
geopolitical uncertainties remain for South Africa, and therefore they
expect the rand to reach 20 rand to the dollar by end June.

 

Attention will then shift to the release of the S&P Global Purchasing
Managers' Index (PMI)(ZAPMIM=ECI), opens new tab on Tuesday, followed by
manufacturing (ZAMFG=ECI), opens new tab and foreign reserves (ZAFXRS=ECI),
opens new tab, (ZAFXRG=ECI), opens new tab data due on Thursday.

 

South Africa's benchmark 2030 government bond was weaker in early deals,
with the yield up 2 basis points to 8.845%.

 

 

 

Nigeria

 

Naira records marginal loss as liquidity decline

 

The naira on Monday depreciated slightly against the dollar in the official
foreign (FX) market, following a decline in liquidity.

 

The Nigerian Foreign Exchange Market (NFEM) recorded an inflow of US$668mn
last week, marking a 9 percent decline compared to US$735mn in the previous
week, according to data from the research department of Coronation Merchant
Bank Limited.

 

After trading on Monday, the naira weakened by 0.2 percent as the dollar was
quoted at N1,605.62 compared to N1,602.18 quoted on Friday last week at the
NFEM, data from the Central Bank of Nigeria (CBN) indicated.

 

 

The naira appreciated to N1,600 on Monday, gaining N5 from N1,605 traded on
Friday in the parallel market, also known as the black market.

 

According to the report, the CBN accounted for 27.73 percent of the total
inflow, Foreign Portfolio Investors (FPIs) 9.22 percent, non-bank corporates
33.43 percent, exporters 24.34 percent, while other sources accounted for
5.28 percent. The gross foreign reserves increased by 0.36 percent week/week
to close at US$37.93bn as of April 30, 2025. Turning to the Chinese Yuan,
the Naira lost 0.40% against the Chinese Yuan (CNY), to close at
N220.31CNY/N.

 

Last week, Naira lost 0.17 percent w/w against the US Dollar in the official
spot market, closing at N1,602.18/US$1. The 1-month forward rate closed at
N1,646.57/US$1. The 3-month forward contract rate closed at N1,724.19/US$1.
The 6-month forward contract closed at N1,837.00/US$1 The 1-year forward
rate closed at N2,056.24/US$1. At the parallel market, the value of Naira
remained the same as the previous week, closing at N1,610.00/US$1 on Friday

 

 

 

 <mailto:info at bulls.co.zw> 

 

Global Markets

 

FOREX Dollar slides against peers, weighed down by fresh tariff worries

 

NEW YORK, May 5 (Reuters) - The U.S. dollar weakened against major
currencies, including the yen and the euro, on Monday as markets weighed
continued uncertainty from President Donald Trump's tariff policies and
their impact on the economy.

The greenback slid to a three-year low against the Taiwan dollar to 28.8150
amid speculation that Taiwan was letting its currency appreciate as part of
a trade deal with the U.S., or at least was unwilling to intervene to stop
it rising alongside sharp inflows in capital.

The Reuters Tariff Watch newsletter is your daily guide to the latest global
trade and tariff news. 

 

 

Other Asian-Pacific currencies, including the Australian dollar , gained
against the U.S. dollar. The Aussie reached as high as $0.64935, its highest
since December last year.

The selloff of the dollar against Asian currencies is partly driven by the
unwinding of large, un-hedged positions taken by some investors such as life
insurance companies in Taiwan amid talk of more U.S. tariffs, said Marc
Chandler, chief market strategist at Bannockburn Global Forex.

"The dollar sold off in Asia partly because some people are worried there'd
be semiconductor tariffs by the U.S. to be announced as early as Wednesday
and talk that in these bilateral trade talks the U.S. could transfer
currency appreciation in East Asia," Chandler said.

 

Trump doubled down on tariff-driven policies during an interview on Sunday,
reiterating that the duties on U.S. imports would eventually make Americans
rich. He announced on Sunday a new 100% tariff on films made outside the
U.S.

Treasury Secretary Scott Bessent on Monday defended Trump's tariffs,
emphasizing that his broader agenda including tax cuts would eventually lead
to long-term economic growth.

 

Markets have been affected by the fact that Trump is not leaving his stance
that tariffs are important, said Juan Perez, director of trading at Monex
USA in Washington.

 

The dollar was down 0.73% against the Japanese yen at 143.885 . Against the
Swiss franc , the dollar weakened 0.50% to 0.82255.

Trump said he would not attempt to remove Federal Reserve Chair Jerome
Powell, but repeated calls for lower interest rates and called Powell a
"stiff". The Fed meets on Wednesday and is widely expected to leave rates
steady following a solid March payrolls report.

Voters went to the polls amid some signs of disenchantment with the PAP's
tight grip on power in the Asian financial hub, whose 6 million people have
known no other kind of government.

 

 

Perez said the U.S. dollar was being hurt the most by chaos in the markets.

"I think we're returning today to...this very sour mood and descent and this
idea that overall you may not necessarily rely on American markets the way
you used to. And that's been seen across Treasuries."

Markets now imply only a 37% chance of a Fed rate cut in June, down from 64%
a month ago. Goldman Sachs and Barclays both shifted their cut calls to July
from June.

The dollar trimmed its losses briefly against the yen after the Institute
for Supply Management report for April showed a larger-than-expected pickup
in growth in the U.S. services sector, which accounts for two-thirds of the
American economy.

Chinese onshore markets were closed but the yuan traded offshore hit its
highest in almost six months at 7.1831 per dollar as investors wagered
Beijing might let its currency strengthen as part of trade talks with
Washington. The yuan was last up 0.12% to 7.2014 per dollar.

 

In Europe, the euro was up 0.15% at $1.131600 and the pound was up 0.21% at
$1.32950.

The Bank of England will meet on Thursday and is widely expected to cut
rates by a further 25 basis points to 4.25%. Central banks in Norway and
Sweden also meet this week and are expected to keep rates steady.

(This story has been corrected to say that the US dollar slid to a
three-year low, not record low, against the Taiwan dollar, in paragraph 2)

Reporting by Chibuike Oguh in New York, Wayne Cole and Alun John. Editing by
Sonali Paul, Mark Potter, Tomasz Janowski, Nia Williams and Marguerita Choy

 

Our Standards: The Thomson Reuters Trust Principles.

 

 

 <mailto:info at bulls.co.zw> 

 

Gold price sticks to modest intraday gains near $3,360 area, remains close
to two-week high

 

Gold price (XAU/USD) sticks to positive bias for the second consecutive day
on Tuesday, though it has retreated slightly from a nearly two-week high
touched during the Asian session. Despite signs of easing US-China trade
tensions, US President Donald Trump's erratic trade policies keep investors
on edge. Apart from this, persistent geopolitical risks stemming from the
Russia-Ukraine war and conflicts in the Middle East drive some safe-haven
flows toward the precious metal.

 

Meanwhile, the US Dollar (USD) continues with its struggle to attract any
meaningful buyers in the wake of the heightened economic uncertainty on the
back of Trump's tariffs. This turns out to be another factor lending some
support to the Gold price. Traders, however, refrain from placing aggressive
bullish bets around the XAU/USD pair ahead of the crucial FOMC policy
meeting starting this Tuesday. This, in turn, warrants caution before
positioning for any further appreciating move.

 

Daily Digest Market Movers: Gold price remains well supported by trade
uncertainties and geopolitical risks

Speaking to reporters aboard Air Force One on Sunday, US President Donald
Trump hinted at possible trade agreements with certain countries as early as
this week, though he did not name any specific countries. Trump had signaled
earlier that he is open to lowering massive tariffs imposed on China.

 

Meanwhile, China's Commerce Ministry said last Friday that it was evaluating
the possibility of trade talks with the US. This, in turn, adds to the
optimism over a possible easing of the tit-for-tat tariff war between the
world's two largest economies and remains supportive of a generally positive
risk tone.

 

The Institute for Supply Management (ISM) survey showed on Monday that the
growth in the US services sector picked up in April. In fact, the ISM
Services PMI rose to 51.6 compared to 50.8 in March and 50.6 estimated. This
comes on top of Friday's upbeat US jobs data and eases fears of a US
recession.

 

This assists the US Dollar to gain some positive traction following a
two-day losing streak. The Gold price, however, continues to attract
safe-haven flows amid uncertainty over Trump's erratic trade policies and
rising geopolitical risks. Trump on Sunday announced a 100% tariff on movies
produced overseas.

 

On the geopolitical front, Russian officials said that Ukraine launched
drones at Moscow for the second night in a row, forcing the closure of the
capital's three major airports. Moreover, Ukrainian forces were trying to
advance in Kursk and attacked a power substation in Russia's western Kursk
region.

 

Furthermore, Israel, reportedly in coordination with the US, launched
airstrikes on Yemen's Hodeidah port in response to Houthi rebel's ballistic
missile attack that hit Ben Gurion International Airport on Sunday. This, in
turn, provides an additional boost to the commodity on Tuesday.

 

Traders now look forward to the highly-anticipated two-day FOMC meeting
starting this Tuesday amid reduced bets for a rate cut in June. Hence, the
accompanying policy statement and Federal Reserve Chair Jerome Powell's
comments on Wednesday will be scrutinized for cues about the rate-cut path.

 

Gold price bulls might now wait for a move beyond 61.8% Fibo. hurdle before
positioning for any further gains

 

>From a technical perspective, the strong intraday move higher lifts the Gold
price beyond the $3,350 hurdle, which coincided with the 50% Fibonacci
retracement level of the recent pullback from the all-time peak. This, along
with positive oscillators on the daily chart, suggests that the path of
least resistance for the commodity remains to the upside. Some
follow-through buying beyond the 61.8% Fibo. level, around the $3,385
region, will reaffirm the positive bias and lift the XAU/USD beyond the
$3,400 mark, towards the next relevant barrier near the $3,425 zone. The
subsequent move up should allow bulls to make a fresh attempt to conquer the
$3,500 psychological mark.

 

On the flip side, the $3,350 area now seems to protect the immediate
downside ahead of the daily low, around the $3,325 zone. This is followed by
the $3,300 mark, which if broken decisively might prompt some technical
selling and drag the Gold price to the $3,275-3,270 intermediate support en
route to the $3,245-3,244 region. A convincing break below the latter could
make the XAU/USD vulnerable to accelerate the slide back towards challenging
the $3,200 mark, or over a two-week low touched last Thursday.

 

Tariffs FAQs

What are tariffs?

Tariffs are customs duties levied on certain merchandise imports or a
category of products. Tariffs are designed to help local producers and
manufacturers be more competitive in the market by providing a price
advantage over similar goods that can be imported. Tariffs are widely used
as tools of protectionism, along with trade barriers and import quotas. 

 

 

 

 

 

 

 

 

 


 

INVESTORS DIARY 2025

 


Company

Event

Venue

Date & Time

 

 	

 

 

 

 

 

 	

 

 

 

 

 

 	

 

 

 

 

 

 	

Counters trading under cautionary

 

 

 

 	

 

 

 

 

 	

CBZH

GetBucks

EcoCash

 

 	

Padenga

Econet

RTG

 

 	

Fidelity

TSL

FMHL

 

 	

ZBFH

 

 

 

 	

Invest Wisely!

Bulls n Bears 

 

 

 Invest Cellphone:            +263 71 944 1674 | +27 79 993 5557 

Email:               bulls at bullszimbabwe.com

Website:            www.bullszimbabwe.com 

Blog:                 www.bullszimbabwe.com/blog

Twitter (X):        @bullsbears2010

LinkedIn:           Bulls n Bears Zimbabwe

Facebook:          www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 



 

 

 	

 

 

 	

DISCLAIMER: This report has been prepared by Bulls 'n Bears, a division of
Faith Capital (Pvt) Ltd for general information purposes only and does not
constitute an offer to sell or the solicitation of an offer to buy or
subscribe for any securities. The information contained in this report has
been compiled from sources believed to be reliable, but no representation or
warranty is made or guarantee given as to its accuracy or completeness. All
opinions expressed and recommendations made are subject to change without
notice. Securities or financial instruments mentioned herein may not be
suitable for all investors. Securities of emerging and mid-size growth
companies typically involve a higher degree of risk and more volatility than
the securities of more established companies. Neither Faith Capital nor any
other member of Bulls 'n Bears nor any other person, accepts any liability
whatsoever for any loss howsoever arising from any use of this report or its
contents or otherwise arising in connection therewith. Recipients of this
report shall be solely responsible for making their own independent
investigation into the business, financial condition and future prospects of
any companies referred to in this report. Other  Indices quoted herein are
for guideline purposes only and sourced from third parties.

 

 	

 

 

 	


 (c) 2025 Web: www.bullszimbabwe.com Email: bulls at bullszimbabwe.com Tel: +27
79 993 5557 | +263 71 944 1674

 

 	

 

 

 	
							

 

 

 

 

 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20250506/60ef29f1/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.png
Type: image/png
Size: 34378 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20250506/60ef29f1/attachment-0001.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 29359 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20250506/60ef29f1/attachment-0002.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 37760 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20250506/60ef29f1/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 130922 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20250506/60ef29f1/attachment-0001.obj>