However, an analyst with Motswedi Securities, Gary Juma, says he is not getting carried away "just yet" because the DCI will end the year on a relatively flat note as profit taking is expected on the market soon.

The middle of the fourth quarter is traditionally characterised by profit taking as Christmas nears.

"Although there has been some recovery in the market on the back of gains in large and mid caps, it is unlikely that it will be sustained because most of these stocks are already overvalued," Juma says. "The market will also lose some steam as we enter the profit taking period.

"However, in the overall, while the mainstream DCI might not end the year in the positive, it is highly unlikely we will see negative year-on-year figures as happened last year."

A market report by Motswedi shows that last week, a total of 3.3 million shares were traded in FNBB while around 1.1 million Barclays shares were traded in the period.

"All the two banking stocks released acceptable financial results despite the turmoil on global financial markets," the Motswedi report says. "Investors therefore are taking positions in the banking stocks in anticipation of future earnings growth when the local economy fully stabilises.

 "On the other hand, 1.4 million and 1.0 million shares were traded in Imara and Turnstar respectively during the week under review."

Showing the growing confidence in the market, the mainstream Domestic Companies Index (DCI) gained one percent to close at 7,088.27 points, reversing its negative year-to-date growth for the first time since January 2009.

On the other hand, the FCI edged 0.05 percent to 1,178.19 points following gains in Discovery Metals and A-Cap.

 Owing to the chaos in the global financial markets, the BSE took an unprecedented fall since the beginning of the year as risk averse investors pulled out of their positions due to the uncertainty that clouded the market and the economy at large.

RDCP was the shining star during the week under review, gaining 11.1 percent to close at all-time high of 400thebe on increased buying. Investors are excited about Masa Centre which RDCP is currently developing.

Masa Centre is expected to be a jewel in the group's property portfolio and the first mixed use development in Botswana. It has attracted international retail brands that will delight trendsetters with a love for style and glamour.

Meanwhile, Discovery Metals also gained by a similar margin to end the week at 250thebe after being temporarily suspended from trading on Wednesday and Thursday pending the release of a rights offer statement by the company.

A-Cap, Barclays and African Copper also gained 5.2 percent, 4.5 percent and 3.8 percent respectively.

FSG pushed on 3.7 percent to reach an all-time high of 140thebe after the funeral services provider energised investors with the launch of Botswana's first private cemetery, Phomolong Memorial Park, last month.

"This means that since listing a year ago, FSG has gained 40 percent, supporting our view that the stock market is still one of (only a) few investment vehicles that enable investors to maximise their gains," says Motswedi.