APRIL 16, 2019: INVESTORS BACK AT NAIROBI STOCK MARKET?

Since this month, investors interest as expressed by number of deals struck has been rather lukewarm at Nairobi Securities Exchange. Come Tuesday, April 16, are the investors renewing interest?

May be. At least after 9 trading days of closing with below 1000 deals struck in the market, on Tuesday it  climbed back above this mark as 1050 deals were recorded.

Indeed, since the month, above 1000 was recorded only twice; the other trading in April being 2nd when 1075 deals were sealed.

Closest to the 1000 mark was April 10th's 996 deals followed by 946 on the 9th while the lowest was 437 deals struck on April 1, 2019.

On Monday, the market closed with the 3rd lowest deals of 784 after Friday's 795, the 4th lowest.

It remains to be seen the Tuesday above 1000 was just a punctuation as it happened on April 2nd before the 9 days below.

Traded volume and value also recovered but still below average as 11.451m shares were exchanged for Ksh 290.348m compared to 7.038m worth Ksh 219.286m on Monday.

Many sectors were still dry or recorded low units. Relatively dry were the manufacturing, construction and Agric sectors and low volumes dominated the rest.

Safaricom led volume and value with Ksm 199m realised by investors from exchanging 7.255m shares at between Ksh 27.30 and 27.75 per share while closing up Ksh 0.20 per share at Ksh 27.50 per share. Thus the equity contributed 68.74% of traded value.

The banking sector chipped in just Ksh 77m or 26.77% while none recorded deals for above 1m shares. The pace setter was KCB Group in which 678,400 shares worth Ksh 30m were traded at between Ksh 44.75 and 45 per share.

Price drops at 21 overwhelmed 14 gains in number recorded for the day but the All share index closed upwards 0.2points at 157.62.

That was understandable since margins of gains were higher. The top price gain was by Williamson Tea up Ksh 5.25 per share as it found and closed at Ksh 145 per share as against Ksh 139.75 previously.

It was trailed by Crown Paints up Ksh 3 per share and Standard Group with Ksh 1.95 per share top up. And of course, Safaricom closing up made it easier for the ASI to close positive.

On the other hand, price drops were paced by Diamond Trust Bank down Ksh 4.50 per share to close at Ksh 122.25 after hitting day high of Ksh 125 per share and low of Ksh 122 compared to Ksh 126.75 per share on Monday.

The only other major price drop was Ksh 1.25 per share recorded by East African Breweries in one of those rare days when small parcels of its shares were traded.

The bond market  closed well above average but not up to the strong recovery on Monday. There were 78 deals worth Ksh 5.416bn  compared to 88 deals worth Ksh 6.349bn previously.

No corporate bond deals as usual; Sell or buy back recorded one stock traded in while again as usual , government stock of above Ksh 50m nominal value dominated.

Top traded values of Ksh 1 bn each were recorded in 15 year infrastructure Bond issued in 2018 and 5 year government bond also issued  in 2018.

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