Kenyan Shilling Reverses Performance Against Basket of Currencies

The Kenyan shilling reversed it’s the performance witnessed earlier this week, as it rallied against all but two in its basket of currencies; in what proved to be a volatile day. The shilling rallied by 0.83% against the dollar to close the trading day at 102.05; as inflows increase for tomorrow’s auction of treasury bills, that still attain attractive yields.

Little economic data from the United States did little to prop up the greenback, as Factory Orders (MoM) were to be announced after markets close. The local currency also gained against the Sterling Pound and Euro, by 0.44% and 0.43% to close at 157.04 and 112.03 (respectively). The pound failed to report any advances in Construction PMI (Oct), while the European Central Bank President was to speak later this evening; notably the Kenyan Monetary Committee meeting is being held ion 17th November. The regional front produced mixed results as the shilling weakened against the Ugandan shilling by 0.20% and remained steady against the Tanzanian shilling.

Foreign Investor Participation

The foreign participation substantially increased during Tuesday’s trading session, accounting for 83.32% of total turnover against 16.68% of local participation. Sell off activities offset buy side, resulting in net outflows worth KES 62.94Mn relative to KES 25.1Mn net inflows on Monday.

Foreign investors accounted for 83.32% of the NSE turnover as compared to 50.32% on Thursday. Foreign investors engaged in net distributive activities, resulting in net outflows worth KES 62.94Mn.

Safaricom Limited (NSE: SCOM) was the day’s highest traded stock, recording a turnover of KES 438.70Mn to account for 42.92% of total market activity and 51.51% of foreign investor activity, followed by East African Breweries Limited (NSE: EABL) with a turnover of KES 139.26Mn representing 13.62% of total market activity and 16.35% of foreign investor activity.

Kenya Re-Insurance Limited (NSE: KNRE) posted the day’s highest net inflows worth KES 12.77Mn and the day’s highest net outflows, worth KES 41.48Mn, were posted by Kenya Commercial Bank Limited (NSE: KCB).