Zimbabwe's stocks soar despite inflation - 06 Jan 08

Zimbabwe may be struggling with an economy in crisis, but its stock market is bucking the trend and has emerged as one of the best performing in the world.

The country's runaway inflation of more than 8,000 per cent at the end of last year had a lot to do with that growth.

Category:

News & Politics

Tags:

• Al
• Jazeera
• aljazeera
• Harare
• Zimbabwe
• stock
• market
• performance
• growth
• Supa
• Mandiwanzira

[masakmerah]

This is normal. in a country with rapid inflation due to rapid money printing, its stock market tend to create a bubble and going higher and higher. While its currency loses value. Sounds familiar?

In the last 2 months the Dow has gone up 30% from its 2008 lows at 6700. But the value of Dollar slowly decreasing against other currencies. This is the usual result when people loses faith on their currency, and buy other higher yield assets (like stocks) to protect their purchasing power.

[Rico8458]

rhodesia use to be a high class beautiful very rich nation until the hand over

[WheresTheInterest]

:17 "It may seem contradictory, but the market is helped by inflation."

Of course it is. Inflation is a function of an increase of money and credit. The supply of money there has increased greatly. That money has to go somewhere. And It has gone into their stock market.

What's the difference between Zimbabwe and the US. Not much.

[sianghan]

Sad but true. Mugabe gave the farms to niggas but they were too dumb to farm.

[zimbaphilia]

Zimbabwe DID have agriculture and human capital, and they left for places where whites were welcome. Sad for beautiful Zim, maybe they will come back when Mugabe dies...

[kng863]

i give some credit for zimbabwe for at least trying to establish an economy. What they need are agriculture and human capital to create GDP and combat the inflation. They also need a government to enforce capitalist rules so merchants don't get robbed. Problem is zimbabwe has neither agriculture and human capital. Can anyone there build structurally sound homes?

[middletech]

This is a fools investment as long as Mugabi is alive. Some one should do the country a favor and shove a machete up his asshole.

[mabrrr]

gosh supa mandiwanzira!!! wen is he coming out of the closet. his english has improved tho. and all this about stocks rising is bull shit. i cant blv this. i dont htink he likes Zanu, he just pretends to so he can buy his cheap suits and be on tv.

[mugabeimhata]

i agree with you supa mandiwanzira is campaigning for zanu

[moviedude111]

Foreign investors, hahahahahah in Zim, you have to be kidding, hahaha, funny joke. The props at the exchange were funny and the laptop on a porn website rotflmao

[moviedude111]

meat is meat.

[dpulv]

*zing!

[2observant]

Typical, Supa Mandiwzra, is advertsng, if not promting, tht corrpt snake, Chiyangwa. I'm dispntd to see Aljaz using a wel known supprtr of the crrupt zim gov, to reprt on afairs there. I supose their coment wil be that he is the only one alowd to reprt for them in Zim.