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Tanzania: Local Investors’ Participation On Dse Rises

tanzania local investors participation on dse rises

Local investors at the Dar es Salaam Stock Exchange (DSE) controlled almost two-third of 6.66bn/-last week spurred by a prearranged market which accounted for more than 96.8 per cent of the total turnover.

Orbit Securities Head of Research and Analytics, Imani Muhingo said the revival of the equity turnover during the week as a result of activities in the prearranged market which accounted for more than 96.8 per cent of the total turnover during the week.

NMB took the top mover spot after accounting for 76.1 per cent of the total turnover following prearranged transactions on Monday and Tuesday, which involved a total of 3.5mln shares traded at a prearranged price of 1,450/-.

NMB was followed by TBL which accounted for 15.3 per cent of the total turnover following prearranged transactions on Thursday and Friday involving 227,431 shares at prices of 4,200/- and 5,000/-.

However, during the week, CRDB Bank was the top loser after losing 1.89per cent to close at 260/-. The bank has fallen despite a 26 per cent improvement of profit in the half-year results.

Zan Securities Chief Executive Officer Raphael Masumbuko said the bourse recorded another bullish performance, which was dominated by pre-arranged block trades.

“Both domestic and foreign investors were active participants in this week’s trades, which is a merit for our exchange,” Mr Masumbuko said in the firm’s weekly market wrap-ups.

The last week’s turnover surged up almost eleven times from 580m/- of the previous week to 6.66bn/-. Also, the number of shares exchanged hands rose 0.956 to 4.65 million shares.

Vertex International Securities said in its weekly market report that local investors continue to drive the market as turnover and volume surged, albeit at the expense of prices.

“Increase in volume and turnover turned out to be a double-edged sword this week as prices tumbled,” Vertex report showed adding:

“We expect the three parameters to converge next week as we anticipate positive interim results from industrials”

However, despite turnover increase the total market capitalisation decreased slightly by 0.12per cent to 16.62tri/-.

And, the domestic market capitalization decreased by 0.11per cent to close at 9.587tri/-.

Top gainers, according to DSE, were NICO, which gained 4.35per cent to close at 240/- and DSE, which gained 1.69 per cent to close at 1,200/-.

All Shares Index (DSEI) and Tanzania Shares Index (TSI) lost 0.12 per cent to close at 1,998.42 points and 3,640.12 points respectively.

Banks, Finance and Investment (BI) lost 0.58per cent to close at 2,539.41 points as DSE and NICO gains could not offset CRDB losses.

Industrial and Allied (IA) and Commercial Services (CS) remained unchanged at 5,039.42 points and 2,139.33 points like the week before.