The Tanzania stock market experienced a significant decrease in trading activity last week, with turnover plummeting by over 85 percent to 25.25bn/- and traded volume falling nearly 89 percent to 7.23 million shares. This slowdown follows a period of exceptionally high trading volumes the previous week. However, despite the reduced liquidity, market valuations continued to climb, indicating sustained investor confidence in asset values. A notable shift occurred in foreign investor behavior, as net flows reversed from an outflow to a positive trend, suggesting growing international interest. This indicates a complex market dynamic where prices are increasing, but fewer shares are being traded. The contrasting trends highlight a potential disconnect between valuation and actual market participation. Further analysis is needed to understand the reasons behind the liquidity slump and the sustainability of valuation growth.