Bulls n Bears Daily Market Commentary : 25 March 2024

Tue Mar 26 08:00:19 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 : 25 March 2024

 <mailto:sales at dulys.co.zw?subject=Request%20Quote> 
ZSE commentary

ZSE opens week in the black

The ZSE market opened the new week in the black to see the primary All-Share
index gaining 3.50% to 780,732.57pts while,

Agriculture Index firmed up 2.61% to ,787.49pts as the Mid Cap Index added
3.38% to 2,985,894.23pts. Brick manufacturer Willdale headlined the top
performers of the day on a 28.72% surge that took it to $91.6522. The duo of
ZBFH and Afdis ticked up a similar 15% to close at $6,118.0000 and
$4,778.3000 respectively. Telecoms giant Econet rose 14.86% to $4,0009.0895
while, banking group FBC Holdings capped the winners of the day on a 14.68%
uplift to settle at $3,784.0479. In the contrast, ART led the laggards of
the day on a 2.44% drop to $200.0000 while, apparel retailer Edgars slipped
0.55% to $406.2095. Banking group CBZ fell 0.30% to $10,011.3077 while,
beverage giant Delta eased 0.16% to close at $14,278 .9489 . Ariston
completed the fallers of the day on a 0.06% slid to end the day pegged at
$69.9500. Twenty- two counters recorded gains against six that faltered to
leave the market with a positive breadth of sixteen.

Activity aggregates were depressed in the session as volume traded fell by
58.32% to see 1.54m shares while, value traded declined 67.30% to $4.81bn.
Top volume drivers of the day were Ecocash (26.20%}, Econet (26.15%} and
Starafrica (11.87%}. The trio of Delta, Econet and BAT contributed a
combined (77.61%} to the total value traded. Only three ETF's were active in
the first session which saw a total of 100,152 units exchange hands. Datvest
ETF stepped up 11.78% to $28.0000  while,  MIZ  ETF  advanced  13.50% to
settle  at

$20.0000. OMTT ETF trimmed 0.34% to end the day pegged at $143.4189. Revitus
REIT declined 0.01% to $559.9500 while, Tigere REIT shot up 6.85% to end the
day pegged at $872.9587 in a session as a total of 332,635 units exchange
hands.-efesecurities

Global Currencies & Equity Markets

South Africa

South African rand firms against U.S. dollar, focus on rate decision

(Reuters) - The South African rand firmed against a weaker U.S. dollar at
the start of a week that will include the central bank's decision on its
interest rates.

At 1535 GMT, the rand traded at 18.9100 against the dollar on Monday, around
0.5% stronger than its previous close.

The dollar was last trading down about 0.2% against a basket of global
currencies.

Like most emerging market currencies, the rand tends to take cues from the
dollar in the absence of major economic data.

Local investors will look toward the South African Reserve Bank's rate
announcement on Wednesday after inflation rose to 5.6% in February, nearing
the top end of the central bank's preferred range of 3-6%.

"The focus will be on the ... decision and guidance, with expectations
leaning towards maintaining current rates but with keen interest on future
rate cut projections," said Andre Cilliers, currency strategist,
TreasuryONE.

On the stock market, the Top-40 (.JTOPI), opens new tab index closed almost
unchanged.

South Africa's benchmark 2030 government bond was flat in late deals, with
the yield up 1 basis points to 10.475%.

Nigeria

Naira gains across markets as CBN sells dollar to BDCs

The naira on Monday continued its appreciation across the foreign exchange
(FX) markets as the Central Bank of Nigeria (CBN) sold dollars

at N1,251 to the Bureau De Change (BDC) Operators.

The CBN in February 2024 promised to sell $20,000 weekly to BDCs at N1,301.

A circular from the CBN indicated that the apex bank directed the BDCs to
sell to eligible customers at a rate not exceeding 1.5 percent above the
purchase price.

The summary of the forex auction showed that the naira appreciated by 1.64
percent as the dollar was quoted at N1,408.04 on Monday, stronger than
N1,431.49 quoted on Friday at the Nigerian Autonomous Foreign Exchange
Market (NFEM).

Data from the FMDQ showed that the intraday high closed at N1,442 per dollar
on Monday, stronger than N1,468/$1 closed at on Friday. The intraday low
closed flat at N1,300 per dollar on Monday as against N1,301 closed on
Friday at NAFEM.

The daily FX market turnover increased by 11.06 percent to $221.80 million
on Monday from $199.71 million recorded on Friday.

The CBN circular reads, "We refer to our letter to you referenced
TED/DIR/CON/GOM/001/071 in respect of the above subject wherein the CB
approved a second tranche of sale of FX to eligible BDCs.

"We write to inform you of the sale of $10,000 to each BDC at the rate of
N1,251/$1. The BDCs are to sell to eligible end users at a spread of not
more than 1.5 per cent above the purchase price."

Dollar rate on Monday crashed to N1,450, pushing up the value of the naira
by 2. 07 percent as speculators offload hoarded foreign currency at the
parallel market, popularly called black market.

 <mailto:info at bulls.co.zw> 

Global Markets

Wall Street ends lower ahead of US data; dollar pressured by yen, yuan

(Reuters) - U.S. stocks lost ground at the start of a holiday-shortened week
on Monday as investors positioned themselves ahead of inflation data.

All three major U.S. stock indexes ended the session in the red, with the
blue-chip Dow suffering the largest percentage loss.

The dollar dipped as the risk of yen intervention loomed and it came under
pressure from China's government-supported yuan rally.

Wall Street focused on Boeing (BA.N), opens new tab after the planemaker
said its CEO Dave Calhoun will step down by year-end after a flurry of
safety concerns.

"On the heels of the best week of the year last week, stocks are taking a
bit of a breather today, with the inflation data set to come out later this
week," said Ryan Detrick, chief market strategist at Carson Group in Omaha.

"The truth is many people are on spring break this week," Detrick added. "We
have a holiday right around the corner, so a light-volume consolidation
after the big run we've seen is perfectly normal."

After the U.S. Federal Reserve's decision last Wednesday to leave its key
policy rate unchanged, and its "dot plot" still reflecting expectations for
three cuts to that rate this year, markets are looking ahead to Friday's
Personal Consumption Expenditures (PCE) report due from the Commerce
Department.

The report will be released on the Good Friday holiday despite it being a
market holiday.

Analysts expect the PCE data to show inflation gathered heat in February,
with prices rising by 0.4% after January's 0.3% gain. However, "core" price
inflation, which strips away volatile food and energy prices, is seen
cooling to 0.3% from 0.4%.

Year-on-year, headline and core PCE price indexes are expected to land at
2.5% and 2.8%, respectively, hovering within one percentage point of the
Fed's average annual 2% target.

Inflation gauges

The Dow Jones Industrial Average (.DJI), opens new tab fell 162.26 points,
or 0.41%, to 39,313.64, the S&P 500 (.SPX), opens new tab lost 15.99 points,
or 0.31%, to 5,218.19 and the Nasdaq Composite (.IXIC), opens new tab
dropped 44.35 points, or 0.27%, to 16,384.47.

European stocks reversed a modest sell-off to eke out nominal gains as
market participants digested dovish sentiment from major central banks.

The pan-European STOXX 600 index (.STOXX), opens new tab rose 0.04% and
MSCI's gauge of stocks across the globe (.MIWD00000PUS), opens new tab shed
0.24%.

Emerging market stocks lost 0.25%. MSCI's broadest index of Asia-Pacific
shares outside Japan (.MIAPJ0000PUS), opens new tab closed 0.07% lower,
while Japan's Nikkei (.N225), opens new tab lost 1.16%.

The dollar dipped against a basket of world currencies and the yen was
little changed after Japan's top currency diplomat warned against
speculators trying to weaken the currency, while China's yuan gained on
suspected selling of dollars by state-owned banks.

"China and Japan trying to shore up their currencies is a reflection of
weakness in their economies, and they're putting a band-aid on something
that requires something more significant," said Oliver Pursche, senior vice
president at Wealthspire Advisors, in New York.

The dollar index (.DXY), opens new tab rose 0.2%, with the euro up 0.3% to
$1.0837.

The Japanese yen strengthened 0.02% versus the U.S. dollar at 151.46 per
dollar, while Sterling was last trading at $1.2635, up 0.27% on the day.

Bitcoin surged above the $70,000 level, and was last up 11.7% at $70,958.

"The incredible demand for bitcoin continues as the new ETFs continue to see
very strong flows," Detrick said.

Treasury yields edged higher after the $66 billion auction of two-year notes
as markets got used to the idea of the Fed cutting interest rates three
times this year.

Benchmark 10-year notes last fell 8/32 in price to yield 4.2493%, from
4.218% late on Friday.

The 30-year bond last fell 14/32 in price to yield 4.4183%, from 4.392% late
on Friday.

Oil prices advanced due to supply concerns arising from Russian output cuts
and geopolitical conflicts.

U.S. crude rose 1.64% to settle at $81.95 per barrel, while Brent closed at
$86.75 per barrel, up 1.55% on the day.

Gold firmed ahead of key U.S. economic data this week.

Spot gold added 0.3% to $2,170.60 an ounce.

 <mailto:info at bulls.co.zw> 

Commodities Markets

Price Gold Gold gains as rate cut bets hold ground in run-up to inflation
test

(Reuters) - Gold prices rose on Monday, driven by expectations of interest
rate cuts by the U.S. Federal Reserve this year, even as traders await
inflation readings this week for confirmation on the timing of these
reductions.

Spot gold gained 0.5% to $2,174.51 per ounce as of 1:45 p.m. EDT (1745 GMT),
while silver rose 0.2% to $24.71.

U.S. gold futures settled 0.8% higher at $2,176.4.

The weekly initial jobless claims print is due on Thursday and will be
followed by the U.S. core personal consumption expenditure (PCE) price index
data on Friday. Market reaction to the PCE data may only be seen next week
on account of the Good Friday holiday.

Gold can easily hit the $2,300 levels or higher in the second quarter, as
discretionary traders and exchange-traded fund investors, who so far have
not really participated in the rally, come into the market once rate cuts
are confirmed, said Bart Melek, head of commodity strategies at TD
Securities.

But stronger economic data can prompt a retreat in gold, Melek said.

The dollar also pared some of last week's gains, making bullion cheaper for
overseas buyers.

Gold hit record peaks last week after the Fed reiterated its view of three
rate cuts in 2024.

Traders are pricing in a 70% probability of a June rate cut, versus 65%
before the Fed's March policy meet last week.

Lower interest rates tend to make zero-yield gold more appealing.

Gold also continued to draw support from strong central bank buying and
safe-haven demand, analysts said.

Among autocatalysts, platinum gained 1.1% to $903.59 and palladium climbed
2.3% to $1,008.08.

Palladium's demand from the auto industry will be supported for longer after
last week's new U.S. emissions law changes, which will effectively allow for
more catalysed car sales in coming years, analysts at Heraeus wrote in a
note.

INVESTORS DIARY 2024

Company

Event

Venue

Date & Time

Good Friday

march 29

Easter Monday

1 April

Independence Day

April 18

Workers day

1 May

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/20240326/239b1d49/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/20240326/239b1d49/attachment-0001.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 135717 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240326/239b1d49/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 40113 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240326/239b1d49/attachment-0004.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.jpg
Type: image/jpeg
Size: 37760 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240326/239b1d49/attachment-0005.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 130969 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240326/239b1d49/attachment-0001.obj>