Global equity markets extended gains on Friday, helped by data showing relatively strong U.S. growth, while sterling headed toward its worst week in more than two years on concerns over how Britain will leave the European Union. The MSCI index on Equity Markets across the globe gained 0.39% to a record high, while Wall Street’s three key equity indices on also marked new highs.
During the week, the US congress voted to impeach President Donald Trump on two counts of Abuse of office and obstruction of justice.The president’s impeachment vote now turns to the Senate in January, the senate which has the Republican Majority will most likely reject the impeachment vote, leaving President Donald Trump in office.
European shares also rallied, with the pan-European STOXX 600 index rising 0.70%. Indexes in Frankfurt, Paris and London all made similar gains in thin trading as Asia MSCI’s broadest index on the Asia-Pacific shares outside Japan added a sliver, having risen 1.2% so far this week and almost 5% this month.
Emerging market stocks rose 0.15%.
The profit warnings on Listed Firms on the Nairobi Securities Exchange continued to trickle in as CIC Insurance and Kenya Airways Plc issued profit warnings, dimming investors’ hopes of these companies jumping into profitability and also indicating the challenging business environment in the country. Kenya Airways announced that Allan Kilavuka will be taking over as Acting Chief executive when CEO Sebastian Mikosz exits the firm at the end of this month. Allan, until then, has been the CEO of KQ’s low cost airliner, Jambo Jet.
Listed Stocks on the Nairobi Securities Exchange experienced increased activity throughout the week, closing higher in volume and turnover as compared to last week. Increased Foreign interest and local participation in Safaricom, Equity Group and KCB Group Plc saw the banking & Telecommunication stock close higher and account for close to 70% of the total market activity. Safaricom & Equity Group Holdings Plc shares moved 72.5 Million & 18.8 Million shares during the week as foreign and Fund Managers’ interest rallied on the bourse. Next week’s activities are expected to be lower as the Fund Managers close their books and also for the Christmas break which will see the bourse on a 3 day trading week.
The Nairobi Securities Exchange‘s trading week. Week on Week (w-o-w) turnover rose by 25.37% to settle at KES 4.20 Billion against last weeks turnover of KES 3.35 Billion with an average daily turnover at 735 Million spread across the trading week against last week’s 650 Million average.
Total Market recorded a 8.12% rise in Volumes traded week-on-week, with 120 Million shares exchanging hands against 111 Million shares transacted the previous week. The average daily volume stood at 23 Million against last week’s 19.6 Million with Friday having the highest volume turnover of 47 Million shares valued at Kes. 1.6 Billion.
The benchmark NSE All Share Index (NASI) closed Friday at 163.90, representing a week on week gain (W/W) of 2.11%, a 4-week month to month (M/M) gain of 5.74%, and an overall year-to-date (YTD) gain of 16.71%.
The NSE 25 Share Index (NSE25) closed Friday at 4018.59 points, which represented a w/w gain of 1.95%, a M/M gain of 4.48%, and an overall year-to-date (YTD) gain of 13.15%.
The NSE 20 share Index (NSE20) closed at 2583.76 points; indicating a week- on-week loss of 0.16%, a 4-week month to month (M/M) loss of 1.24% and a Year to date (YTD) loss of 8.82%.
NSE’s Derivatives Market (NEXT) closed the week with a total of 46 contracts transacted valued at Kes 1.8 Million, indicating an increase in market activity as contracts for the December 19th were closed, this as compared to the previous week of 10 contracts valued at Kes 301,000.
The secondary Bond market at the NSE recorded reduced market activity with 5.6 Billion worth of bonds transacting as compared to last week’s value of 3.0 Billion.
