Jubilee Rallies 3.84% Ahead of Book Closure

Performance across sectors mirrored the general positive sentiments in the market as all the indicators closed in the green during todays’ trading. The NSE-20 share index advanced by 0.59% to close at 4234.66 points while the NASI nudged up; 0.76% to close at 147.58 points. Equity turnover was on an uptrend, garnering 38.55% to close at KES 0.398Bn, propped by heavy trading activities on large cap stocks whilst the investors’ wealth expanded by 0.77% to KES 2.073Tn.

Advancers/Decliners ratio had slightly improved to 0.95x, further illustrating that the market had started benefitting from positive sentiments and regained investor confidence probably ensuing from the stable shilling. Fuel consumers were saved from extra expenditure at the pumps after the regulator (Energy Regulatory Commission) refrained from hiking the fuel prices despite the currency volatility. During this month’s review, petrol prices remained unchanged (KES 102.65) whereas the diesel prices were down; KES 3.36 per litre to a price of KES 79.99 from KES 83.35.

This comes in the wake of a decline in global oil prices which has helped resuscitate the pressures owed to the weakening Kenyan shilling that could have resulted in higher pump prices. Pegged on the fuel prices review, which poses significant impact on the inflation, and the current food prices; we portend that the inflation rate may hold steady at the end of the month. Jubilee Holdings Ltd (NSE: JUB) was among the top gainers for the day, rallying by 3.84% as the run to the book closure date slated for 18th September 2015 intensifies. We opine, that the stock will continue picking up steam as investors seek returns from dividend yielding stocks, during a period curtailed with poor capital gains.

Equity Market Highlights

Kenya Commercial Bank Ltd (NSE: KCB) remained the most active stock for the second day running accounting for 24.64% of the total value traded. Jubilee Holdings Ltd (NSE: JUB) closed second accounting for 13.24% of the days traded value. Car and General Ltd (NSE: C & G) capped the gainers list, appreciating 7.69% to close the day at KES 42.00 on account of a small but significant volume of 100 shares traded. Kakuzi Ltd (NSE: KUKZ) was up; 6.45% to close the day, as the second best gainer at KES 330.00.

Express Kenya Ltd (NSE: XPRS) lost the previous day’s gains, capping the losers list. It was down; 6.38% to KES 4.40. BOC Kenya Ltd (NSE: BOC) plunged by 3.23% to KES 120.00 trailing as the second biggest loser of the day.