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Zimbabwe stock prices continue to show upside potential
VOLUME on the Zimbabwe Stock Exchange have remained relatively low but stock prices have continue to show an upside potential.
Presently, the market can be assured that interest rates will rise no further, as the central bank recently elected to freeze any rate upsurge. It said any shift on rates would be determined by inflation trends.
However, what this also means is that, assuming the Reserve Bank's Social Contract proposal comes to fruition this could see an impromptu uplift in rates, as a key weapon to fighting inflation.
Industrials have continued to break record levels, as the index touched another high at 1,219,058.06 points led by marginal gains in firsttier and middle-cap counters.
Daily volumes average 20 million. Mining recovered from no-devaluation weaknesses to 539 275,38 points, as firming global resource prices brought new hope for continued bullish patterns. The average daily turnover ran at around $3 billion.
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