Kenyan Shilling Extends Further Gains as Inflows Support Appreciation

The Kenyan shilling managed to register gains against most of its regional and international peers during Monday’s trading session. The shilling registered gains against the US Dollar (USD) by 0.11% to 102.15 as inflows continue to prop the shilling as investors seek to enter the fixed income segment that is registering high interest rate returns. Further gains were registered against the Euro (EUR) by 0.34% as data indicates that German business conditions deteriorated in October 2015 coupled with renewed prospects of further European central bank easing.

The shilling further gained against the Sterling Pound (GBP) by 0.53% to 156.67. On the regional front the shilling extended gains against the Tanzanian Shilling by 0.22% to 21.25 as the election results continue to filter through.

Foreign Investor Participation

The foreign participation edged up during Monday’s trading session, accounting for 58.47% of total turnover against41.53% of local participation. Sell off activities were unable to offset buy side, resulting in net inflows worth KES 29.74Mn relative to KES 5.30Mn net inflows on Friday’s.

Foreign investors accounted for 58.47% of the NSE turnover as compared to 92.34% on Friday.

Foreign investors engaged in net accumulative activities, resulting in net inflows worth KES 29.74Mn.

Kenya Commercial Bank Limited (NSE: KCB) was the day’s highest traded stock, recording a turnover of KES 39.90Mn to account for 20.03% of total market activity and 34.25% of foreign investor activity, followed by Safaricom Limited (NSE: SCOM) with a turnover of KES 34.50Mn representing 17.31% of total market activity and 29.62% of foreign investor activity.

Safaricom Limited (NSE: SCOM) posted the day’s highest net inflows worth KES 16.25Mn and the day’s highest net outflows, worth KES 1.30Mn, were posted by Equity Group Holdings Limited (NSE: EQTY).