Bulls n Bears Daily Market Commentary : 15 May 2018

Tue May 15 16:25:23 CAT 2018

 <http://www.bulls.co.zw/> Bulls.co.zw        <mailto:bulls at bulls.co.zw>
Views & Comments        <http://www.bulls.co.zw/blog> 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:info at bulls.co.zw?subject=Unsubscribe> Unsubscribe

Bulls n Bears Daily Market Commentary : 15 May 2018

 <mailto:info at bulls.co.zw> 

Zimbabwe Stock Exchange Update

Market Turnover $3,357,679.13 with foreign buys at $2,426,270.98 and foreign
sales were $46,107.00. Total trades were 76.

The All Share index’s bullish trend continued at it ended 0.38 points
higher at 104.25 points on the back of heavyweight gains. Seed producer
SEEDCO  added $0.0846, PPC   put on $0.0775 to close at $1.2000 and OLD
MUTUAL  continued its resurgence by adding $0.0421 to settle at $7.0506.
NATFOODS  went up $0.0200 to $5.4200 and CBZ   moved up by $0.0100 to trade
at $0.1200.

On the downside, DAWN  was $0.0028 lower at $0.0130 whilst AXIA   and
MASHONALAND HOLDINGS   both lost $0.0025 to close at $0.2475 and $0.0220
respectively. ZIMRE PROPERTY INVESTMENTS  eased $0.0015 to trade at $0.0175.

 <mailto:info at bulls.co.zw> 

Global Currencies & Equity Markets

Uganda

Ugandan shilling holds steady against the dollar

(Reuters) - The Uganda shilling        was stable on Tuesday on the back of
subdued appetite for hard currency from merchandise importers and commercial
banks.  

At 0815 GMT, commercial banks quoted the shilling at 3,710/3,720, unchanged
from Monday's closing rate. 

Kenya

Kenyan shilling holds steady, export earnings help

(Reuters) - The Kenyan shilling held steady against the dollar on Tuesday
supported by inflows from horticulture exports and non governmental
organisations, traders said. 

At 0955 GMT, commercial banks quoted the shilling at 100.25/45 per dollar,
unchanged from Monday's close.

America

Dollar inches higher, supported by U.S. bond yields

(Reuters) - The dollar inched higher against a basket of currencies on
Tuesday, having pulled up from its lowest level in more than a week as hopes
for easing global trade tensions pushed U.S. bond yields higher.

The dollar’s index versus a basket of six major peers rose 0.1 percent to
92.638, inching away from a trough of 92.243 set on Monday, which was the
lowest for the dollar index since May 2.

The benchmark 10-year U.S. Treasury yield was steady in Asian trading on
Tuesday at 2.999 percent, after rising 2 basis points on Monday.

The U.S. 10-year bond yield had edged higher on Monday, as trade tensions
eased in the wake of U.S. President Donald Trump’s pledge to help Chinese
telecommunications company ZTE Corp, which has been penalised for violating
U.S. sanctions with Iran.

The dollar index had scaled a four-month high of 93.416 last week, as a rise
in U.S. Treasury yields highlighted the wide interest rate gap between the
United States and some other developed economies, and bolstered the dollar’s
appeal.

Although the dollar’s rally has lost steam after soft April U.S. consumer
price data released last week raised doubts as to whether the U.S. Federal
Reserve would raise interest rates as many as four times in 2018, some
traders remain upbeat about its near-term outlook.

Stephen Innes, head of trading in Asia-Pacific for Oanda in Singapore, said
he is comfortable remaining long U.S. dollar, with interest rate
differentials still likely to work in the greenback’s favour.

Innes added that he would probably stay with his dollar positive view until
there is either a wave of positive economic data from countries other than
the United States, or until the European Central Bank starts to sound
“overtly hawkish instead of just tentatively”.

The euro edged up 0.1 percent to $1.1934, but remained below Monday’s high
of $1.1996, which was the common currency’s highest level since May 3.

The euro had strengthened on Monday after European Central Bank policymaker
Francois Villeroy de Galhau said that the ECB could give fresh guidance on
the timing of its first rate hike as the end of its exceptional bond
purchases approaches.

Despite the dollar’s recent rally, some analysts remain sceptical about the
chances of a sustained push higher in the greenback.

Growing worries about the U.S. budget deficit, which is projected to balloon
to more than $1 trillion in 2019 due to a government spending splurge and
large corporate tax cuts, have dimmed the outlook for the greenback, along
with concerns about the country’s current account deficit.

Against the yen, the dollar rose 0.1 percent to 109.74 yen . The greenback
faces resistance on technical charts at levels around 110.00 yen, having set
a three-month high of 110.05 yen in early May.

Investors are focused this week on speeches by Fed officials, as well as
economic indicators such as U.S. retail sales data due later on Tuesday. 

Commodities Markets

Gold hits fresh 2018 low as rising yields lift dollar

(Reuters) - Gold slid more than 1 percent on Tuesday, falling for a third
day to hit its lowest this year as a rise in U.S. borrowing costs pushed up
the dollar and overshadowed the impact of strife in Gaza.

Downward momentum in gold picked up after the metal broke below support at
its 200-day moving average at $1,306 an ounce. 

That had firmly underpinned prices earlier this month. 

Spot gold        was down 1.2 percent to $1,207.06 an ounce by 1304 GMT,
having earlier hit its lowest since late December at $1,296.31. U.S. gold
futures         for June delivery were

down 1.6 percent to $1,296.90 an ounce.

Israeli troops shot dead dozens of Palestinian protesters on the Gaza border
on Monday when the high-profile opening of the U.S. embassy to Israel in
Jerusalem by the Trump administration raised tension to boiling point.

But gold investors were fixated on the dollar, which rose versus a currency
basket as 10-year U.S. bond yields shot above 3 percent, sending borrowing
costs higher in a number of other

countries.

A Federal Reserve official this week backed the case for further interest
rate hikes in the United States, saying inflation had not yet reached the
U.S. central bank's 2 percent

goal in a sustained way.             

Higher U.S. interest rates tend to boost the dollar and push up bond yields,
making greenback-denominated gold more expensive for holders of other
currencies and denting the appeal of

non-yielding assets such as gold.

Holdings of SPDR Gold Trust      , the world's largest gold-backed
exchange-traded fund, fell 0.17 percent to 856.17 tonnes on Monday.

Silver        was down 1.5 percent at $16.25 an ounce, having hit its lowest
in nearly two weeks in earlier trade at $16.22 an ounce. 

Platinum        was down 0.9 percent at $896.49 per ounce, while palladium
was 3 percent lower at $965.25 an ounce having broken below support at its
200-day moving average,

currently at $988 an ounce. 

Britain's Competition and Markets Authority said on Tuesday it would examine
whether a takeover of miner Lonmin   by South Africa's Sibanye-Stillwater
would lessen competition. 

Kazakhstan's Jan-April copper, zinc output falls

(Reuters) - Kazakhstan's January-April refined copper output fell 0.6
percent year-on-year and refined zinc production dropped 7.8 percent, while
crude steel output rose 3.4 percent, Statistics Committee data showed on
Wednesday.

London-listed copper miner KAZ Minerals and  Glencore's Kazzinc account for
a large part ofKazakhstan's metals production.

ArcelorMittal owns the country's only major steel mill in Temirtau.

The Statistics Committee provided the following data on Kazakhstan's
non-ferrous, steel and precious metals output in its latest monthly
bulletin:

INVESTORS DIARY 2018

Company

Event

Venue

Date & Time

Workers’ Day

01/05/2018

Africa Day

25/05/2018

Zimbabwe

Heroes’ Day

Zimbabwe

13/08/2018

Zimbabwe

Defence Forces Day

Zimbabwe

14/08/2018

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) 2018 Web: <http:// www.bulls.co.zw >  www.bulls.co.zw Email:
<mailto:info at bulls.co.zw> info at bulls.co.zw Tel: +263 4 2927658 Cell: +263 77
344 1674

Invest Wisely!

Bulls n Bears 

Telephone:      <tel:%2B263%204%202927658> +263 4 2927658

Cellphone:      <tel:%2B263%2077%20344%201674> +263 77 344 1674

Alt. Email:       <mailto:info at bulls.co.zw> info at bulls.co.zw  

Website:
<http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw&sa=D&sntz=1&usg=AF
QjCNH8LYgdY55h-XKseuM8Kpr-JKdfhQ> www.bulls.co.zw 

Blog:
<http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw%2Fblog&sa=D&sntz=1
&usg=AFQjCNFoIy6F9IXAiYnSoPSgWDYsr8Sqtw> www.bulls.co.zw/blog

Twitter:         @bullsbears2010

LinkedIn:       Bulls n Bears Zimbabwe

Facebook:
<http://www.google.com/url?q=http%3A%2F%2Fwww.facebook.com%2FBullsBearsZimba
bwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA>
www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180515/6c1ee82d/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.jpg
Type: image/jpeg
Size: 3653 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180515/6c1ee82d/attachment-0005.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 29401 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180515/6c1ee82d/attachment-0006.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/20180515/6c1ee82d/attachment-0007.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.jpg
Type: image/jpeg
Size: 159128 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180515/6c1ee82d/attachment-0008.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 4846 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180515/6c1ee82d/attachment-0009.jpg>