BOND MARKET RECOVERS AT NAIROBI STOCK MARKET

With Nigeria's sallah holiday stretching into  second day as usual, the bond market at Nairobi Securities exchange broke with doldrums of recent weeks today Tuesday, June 27, 2017 after its one day holiday.

In all 48 deals were recorded in bonds, up 41.2% on the 34 clocked last Friday and traded value jumped by 84% to 4bn Kshillings compared to just 2.177bn previously.

As usual, most active stocks were the government fixed income of above 50m Ksh nominal value as 3.798bn Ksh worth of deals were sealed. Top of the deals was the 850m Ksh worth recorded in Infrastructure bond 12.5% issued May 2016 and due 2025.

There were no deals in the sell or buy back sector of the market and deals in stocks below 50m Ksh came to about 206m Ksh.

It was the equities segment that took a dive in activity as traded volume decreased by 29.7% to 25.27m shares and traded value dropped by 46.1% to 598.6m Ksh. There was also 14.5% decline in number of deals to 1109 as against 1391 last Friday.

Together, the banking sector out shone Safaricom in both volume and value. In all, the sector accounted for 42.44% or 254m Ksh of the day's traded value as 10 out of the 11 quoted banks recorded deals  with three for above 1m units each.

Most active in the sector was Equity group in which deals were struck for 4.04m shares worth 152m Ksh at between 37.25 and 38 Ksh per share. In volume terms Cooperative bank followed with deals for 1.981m units worth 33.6m Ksh closing 5 Kenyan cents down at 16.95 ksh per share but in terms of traded value, KCB Group was ahead of Cooperative bank with deals worth 40m Ksh  sealed for 1.05m shares.

Safaricom recorded the leading individual volume with deals for 5.72m or 22.6% of traded volume at between 23.25 and 23.75 Ksh per share worth 135m Ksh or same 22.6% of traded value

Commercial and services sector had deals for 83m Ksh thus accounting for 13.94% of traded value with the bulk of that coming from WPP Scan group's recorded deals for 4.308m shares at between 16.85 and 17 Ksh per share worth 80m Ksh.

As usual, East African Breweries helped the Manufacturing and allied sector to chip in 54m or 9.02% of traded value. In EA Breweries 201,400 shares were sold at between 260 and 265 Ksh per share worth 53m Ksh.

However, Kenya Reinsurance of the insurance sector, was among the 6 equites with deals for above 1m units within the day recording deals for 1.516m units at between 20.25 and 21.50 per share worth 32m ksh to help prop the sector's contribution  to 43m Ksh or 7.18% of traded value.

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