Bulls n Bears Daily Market Commentary : 05 December 2024

Fri Dec 6 05:55:25 CAT 2024

 <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 December 2024

ZSE commentary 

Bloodbath on the ZSE...

The ZSE closed the day in bloodbath as fourteen counters recorded losses
against only one gainer. The primary All Share Index lost 4.42% to 239.56pts
while, the Blue Chip Index fell 4.84% to 235.09pts. The Agriculture Index
closed 8.76% weaker at 212.15pts as the Mid Cap Index gave up 3.87% to
258.52pts. Cigarette manufacturer BAT and sugar processor Hippo headlined
the worst performers of the day on a similar 15.00% decline to close at
$109.5500 and $7.8700 respectively.   Seed Co Limited dropped 14.99% to
settle at

$3.6490 while, Willdale tumbled 14.29% to $0.0600. Beverage giant Delta was
not spared in the massacre as it dropped 10.22% to end the day pegged at
$15.0000. Banking group NMB was sole riser of the day as it ticked up 0.08%
to close at

$3.7056.

Activity aggregates were enhanced in the session as volumes traded ballooned
162.34% to 1.56m shares while, turnover grew 10.01% to $5 .95m. NMB
highlighted the activity aggregates after contributing 71.12% to total
volumes traded and 69.12% to the value outturn. Other notable top value
drivers of the day were Econet {17.31%) and Delta (13.14). Foreign purchase
jumped 44.49% to $140,722.30 while, sales plummeted 58.49% to $234,228.80.
The Tigere REIT slipped 0.91% to end the day pegged at $1.1890 after 1,130
units exchanged hands in the session. No trades were recorded in the ETF
category.-efesecrities

 <mailto:info at bulls.co.zw> 

South Africa

South African rand firms ahead of Q3 current account data

(Reuters) - South Africa's rand strengthened on Thursday, ahead of the
release of local current account data for the third quarter.

At 0714 GMT, the rand traded at 18.11 against the dollar, about 0.4%
stronger than its previous close.

The dollar index was last down 0.2% against a basket of currencies.

The South African Reserve Bank will publish the country's third quarter
current account data at 0900 GMT. Analysts polled by Reuters predict a
deficit of 85.5 billion rand ($4.72 billion).

On the stock market, the Top-40 index was up 0.2%.

South Africa's benchmark 2030 government bond was marginally weaker, with
the yield up 1.5 basis points to 8.95%.

($1 = 18.1167 rand)

Nigeria

Naira Appreciates Against Dollar at Black Market

The naira recorded a notable appreciation against the dollar in the parallel
foreign exchange market on Wednesday.

Abubakar Alhassan, a Bureau De Change operator at Wuse Zone 4, confirmed the
strengthening of the naira, reporting: "We sell at N1,700 and buy at N1,690
on Wednesday compared to the N1,730 per dollar exchange rate on Tuesday. In
the past two days, the naira has been appreciating."

This marks a N30 gain from the rate of N1,730 recorded on Tuesday.

Naira

In contrast, data from FMDQ remains unchanged at N1672.69 per dollar, a rate
consistently quoted since Thursday, November 29, 2024.

This currency movement coincides with recent foreign exchange policy changes
announced at the end of November 2024. Notably, the Central Bank of Nigeria
has instructed banks to adopt the Bloomberg BMatch system for FX trading,
effective December 2, 2024.

Additionally, the Central Bank raised the minimum FX trading limit from
$50,000 to $100,000, further shaping the market dynamics during this period.

 <mailto:info at bulls.co.zw> 

Global Markets

Dollar retreat to boost rupee before RBI rate decision

(Reuters) - The Indian rupee is likely to open higher on Friday on the back
of a decline in the dollar index, after which its direction will be dictated
by the central bank's monetary policy review.

The 1-month non-deliverable forward indicated that the rupee will open at
84.68-84.70 to the U.S. dollar, compared with 84.7325 in the previous
session.

The rupee's downtrend has halted over the last two sessions after the
currency dropped to an all-time low of 84.7575 on Tuesday. The pause in
foreign equity outflows leading up to the policy decision has helped the
local currency to some degree.

The Reserve Bank of India's policy statement is due at 10:00 a.m. IST. A
majority of economists expect the central bank to make no changes to the
policy rate amid high inflation and rupee weakness.

"After a long time, we have a policy that will actually matter (for the
rupee)," a currency trader at a bank said.

"I think overall the interbank is less sure (than economists) that RBI will
keep rates on hold. If the RBI does cut, you will have a notable up move on
dollar/rupee."

There was a lot more certainty on what the RBI would do before the weak
India September quarter GDP data. The slump in the GDP growth rate has led
to economists at Nomura and ANZ expecting that the RBI will cut rates.

US JOBS DATA ON TAP

The dollar index on Thursday dropped below the 106 handle, awaiting the U.S.
payrolls data due on Friday. The November jobs report, along with the U.S.
inflation data next week, will be key to gauging whether the Federal Reserve
will cut rates at the December 17-18 meeting.

Markets are pricing in 70% odds of a rate cut right now.

Economists polled by Reuters expect U.S. payrolls to rise by 200,000 with
the unemployment rate pegged at 4.1%.

"We think it would take a big upside surprise on payrolls (>250,000), a fall
in the unemployment rate (below 4.1%) and an upside surprise on the November
inflation report for the Fed not to deliver a cut this month," ANZ said in a
note.

KEY INDICATORS:

** One-month non-deliverable rupee forward at 84.81; onshore one-month
forward premium at 13.25 paise ** Dollar index up at 105.77 ** Brent crude
futures down 0.1% at $72 per barrel ** Ten-year U.S. note yield at 4.18%

** As per NSDL data, foreign investors bought a net $338.1mln worth of
Indian shares on Dec. 4

** NSDL data shows foreign investors sold a net $22.6mln worth of Indian
bonds on Dec. 4.

 <mailto:info at bulls.co.zw> 

Commodities Markets

Gold price solidly down; bulls need fresh spark

(Kitco News) - Gold and silver prices are lower, with gold sharply down, in
midday U.S. trading Thursday. The precious metals market bulls have faded
and need a bullish catalyst to revive their spirits. Position evening ahead
of an important U.S. economic report out Friday also likely prompted some
selling interest. February gold was last down $26.50 at $2,649.70 and March
silver was down $0.37 at $31.545.

The marketplace is awaiting the key monthly employment situation report from
the Labor Department on Friday morning. Non-farm payrolls likely rose by
around 200,000 in November, according to a Bloomberg survey. Fed Chairman
Jay Powell spoke in New York Wednesday and said the U.S. economy is in
"remarkably good shape," adding downside risks for labor market seem to have
come down. His comments spooked the precious metals market bulls a bit, as
they wondered if Friday's jobs report will be stronger than expected.

Bitcoin rose above $100,000 for the first time ever and is up 50% since the
U.S. presidential election. The latest rally came after President-elect
Trump selected Paul Atkins, a pro-crypto regulator, to head the US
Securities and Exchange Commission. The big Bitcoin rally could also be
pulling away investor money from the gold market. Powell on Wednesday
implied gold and Bitcoin were competing asset classes.

The key outside markets today see the U.S. dollar index lower. Nymex crude
oil futures prices are slightly down and trading around $68.50 a barrel. The
yield on the benchmark 10-year U.S. Treasury note is presently around 4.25%.

teaser image

Technically, February gold bulls have the overall near-term technical
advantage. Bulls' next upside price objective is to produce a close above
solid resistance at $2,748.00. Bears' next near-term downside price
objective is pushing futures prices below solid technical support at
$2,600.00. First resistance is seen at this week's high of $2,682.00 and
then at $2,700.00. First support is seen at $2,629.70 and then at $2,600.00.
Wyckoff's Market Rating: 6.0.

teaser image

March silver futures bulls have the slight overall near-term technical
advantage. Silver bulls' next upside price objective is closing prices above
solid technical resistance at $32.50. The next downside price objective for
the bears is closing prices below solid support at $30.00. First resistance
is seen at this week's high of $32.07 and then at $32.50. Next support is
seen at $31.00 and then at $29.75. Wyckoff's Market Rating: 5.5

INVESTORS DIARY 2024

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) 2024 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/20241206/0dd7d0b6/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/20241206/0dd7d0b6/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/20241206/0dd7d0b6/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/20241206/0dd7d0b6/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 130979 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20241206/0dd7d0b6/attachment-0001.obj>