Kenyan Shilling Rallies against a Basket of Currencies

Currency

The Kenyan shilling begun the week on a positive note, as Monday’s trading session saw the local currency rally against all but one of its seven major currency comparable. The US Dollar shed 1.34% against the shilling, to close the trading day at 102.90, as foreign investors continued to be enticed by Central Bank of Kenya’s competitive rates in government securities.

Poor economic data from both the United Kingdom and the Eurozone saw the Kenyan shilling record gains against both the Euro and British Pound, by 1.14% to 115.59 and 1.23% to 156.33 (respectively); as Services PMI in both locals significantly missed their estimates. On the local front the shilling gained against the Ugandan and Tanzanian Shilling by 0.73% and 1.58%, to close the trading day at 35.74 and 21.11 (respectively).

Foreign Investor Participation

The foreign participation shored up during Monday’s trading session, accounting for 66.23% of total turnover against 33.77% of local participation. Sell off activities offset buy side, resulting in net outflows worth KES 81,780, relative to KES 9.05Mn net outflows on Friday.

Foreign investors accounted for 66.23% of the NSE turnover as compared to 79.80% on Friday.

Foreign investors engaged in net distributive activities, resulting in net outflows worth KES 81,780.

East African Breweries Limited (NSE: EABL) was the day’s highest traded stock, recording a turnover of KES 151.77 Mn to account for 25.81% of total market activity and 38.97% of foreign investor activity, followed by Safaricom Limited (NSE: SCOM) with a turnover of KES 48.02 Mn representing 10.70% of total market activity and 16.16% of foreign investor activity.

Crown Berger Limited (NSE: BERG) posted the day’s highest net inflows worth KES 16.00 Mn and the day’s highest net outflows, worth KES 37.34 Mn, were posted by East African Breweries Limited (NSE: EABL).