HomeBusiness DigestBrokers set Monday as execution day

Brokers set Monday as execution day

Conrad Dube/Shakeman Mugari

BROKERS have set Monday as the execution date for transactions on orders received during the five-day work stoppage, provided the industrial action does not s

pill over into next week.

Normal trade is expected to resume on a soft note on the Zimbabwe Stock Exchange (ZSE) on Monday after a week-long break owing to the stayaway.

Most broking firms confirmed they had been taking orders during the shutdown and transactions would only be effected once trade resumed.

An official from Continental Securities Trading (Pvt) Ltd said the company had orders but buyers were not sure when the market would open.

“We have set the execution date on Monday,” he said.

Trust Corp said they could be forced to suspend orders due to the closure of the stock exchange.

“If the shutdown continues then the market will remain closed. The market only operates when there are fund managers,” an analyst said.

The bull-run on the ZSE was brought to a standstill as the one-week industrial action ground business to a halt this week.

But analysts were quick to say the resumption of trade would depend on the national state of affairs on Monday.

“If the market had been open during the stayaway then counters would have tumbled because the market will not be stable. Investors would be jittery,” said a market source.

Trading was suspended due to the absence of fund managers who did not report for the trading calls.

Operations other than the trade were open since Monday.

Analysts have however said the stoppage was unlikely to contribute to the dip in the main index.

The index has been hovering around the 200 000 mark level.

“The opening is likely to be characterised by large volumes probably because some investors had deferred some transaction. The index is likely to survive the impact of the stay away and will continue on the bull run,” said Farai Dyirakumunda, an analyst with Interfin Securities.

Some analysts say trade on the first day of next week could be characterised by large buys of Cottco shares on the back of “splendid” results and TZI on expectation of above market expectation results.

l Due to this week’s five-day closure of the ZSE we are unable to bring you the latest market risers and fallers as well as the weekly graphs on Page 2 which illustrate turnover, minings and industrials. The figures published today are from last week, when the bourse closed for business.

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