WEEK 33: MOTION, NO MOVEMENT AT NAIROBI STOCK MARKET

Trading in week 33 at the Nairobi securities exchange closed yesterday Friday, August 18, 2017 summing up a week of price movements but no significant shift in All shares index.

The ASI ended Friday down 0.88 points at 165.20 when compared to Thursday close but this came to just 20 points ahead of 165 previous Friday.

Yet, there were 33 price increases within the week as against only 17 drops and at higher % too.

Top gain for the week was 21.82% rise to Kes 3.35 by Oympia Capital followed by the Nairobi securities exchange itself which gained 13.1% to Kes 23.75 and CIC Insurance up 11.61% to Kes 6.25 per share.

Sure, these three were the only ones with double digit % gains but Kapchorua Tea and BOC Kenya closed up by 8.93%  and 8% respectively not to talk of the clusters of 4 with gains in the 7% range: Sameer Africa, up 7.84%; I&M Holdings with 7.83%; EA Cables (7.69%); Kenya Airways (7.61%) and Sanlam Africa up by 7.21%.

Among the 17 price drops, only one was in double digit:  Express Kenya down 10% to Kes 3.60 per share by Friday close. The single digits were led by Eaagads ltd with 9.82% drop to Kes 25.25 per share followed by Uchumi supermarket with 5.95% drop to Kes 3.95 per share and Deacons, down 5.38% to Kes 4.40 per share.

Decoded; The many price shifts did not affect the ASI much at the end of the week because most of the gains and price loses were in low, or at best medium priced equities with limited impact on the ASI.

The one clear exception to this deduction was I&M Holdings valued at Kes 124 per share and perhaps, even Kapchorua Tea priced at Kes 91.50 per share.

However, give it to week 33 that the bond market finally recovered from weeks of low key trading. Trading on Friday resulted in Kes 2.994bn worth of deals thus topping three consecutive days of increase for a final Kes 8.3bn for the week. This compares favourably with lowly Kes 1.957bn previously.

Talking of Friday, marked recovery in trading Friday in both bond and equity markets helped the week's upbeat mood.

For example, Ken Kobil in the energy and petroleum sector, recorded deals for 10m shares on Friday put of the 19m shares trade it witnessed through the week. With the shares trading at between Kes 16.15 and 16.40 per share it ended accounting for Kes 306m traded value out of the Kes 482m in the sector for the week.

The banking sector saw good Friday trade too with 5 out of the 11 equities witnessing deals for above 1m units. The sector accounted for 48.44% of traded value for the week or Kes 1.9bn.

Of this, Equity group recorded deals for 21.8m shares worth Kes 958m with 3.498m changing hands on Friday and KCB group ended with deals worth Kes 448m while hitting year high of Kes 47.50 and week low of Kes 43.75. On Friday, deals for 2.126m units were sealed.

For Safaricom, the week was on the low side as 38.5m shares were traded at between Kes 24.25 and 25 for Kes 952m or 23.55% of market week 33 traded value. On Friday only 4.356m shares were traded.

In the end, Friday traded value rose by 23.9% to Kes 697.7m; traded volume closed at 30.276m, up 22.7% and number of deals was 1590 up 2.78% on Thursday level.

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