Shilling Returns to Less-than Stellar Performance

As the week begun to take shape the shilling recorded poor results against all-but-one of the seven international currency comparables. The Kenyan shilling shed 0.05% against the US Dollar, to close at 102.15, as the latter held close to eight-month peaks against other major currencies; as investors eyed the release of U.S Manufacturing data later in the day.

The shilling weakened against the Sterling Pound, by 0.57% to close the trading day at 154.07; as the latter remained supported after the Bank of England Governor rejected any new wave of capital regulation, which was earlier scheduled for U.K bank. On the local front the local currency shed against the Ugandan and Tanzanian shilling, by 0.45% and 0.07%, to close at 32.68 and 21.16 (respectively).

Foreign Investor Participation

The foreign participation edged down during Tuesday’s trading session, accounting for 63.66% of total turnover against 36.34% of local participation. Sell off activities were unable to offset buy side, resulting in net inflows worth KES 2.93Mn relative to KES 73.44Mn net outflows on Monday.

Foreign investors accounted for 63.66% of the NSE turnover as compared to 81.22% on Monday. Foreign investors engaged in net accumulative activities, resulting in net inflows worth KES 2.93Mn.

British American Tobacco Kenya Limited (NSE: BAT) was the day’s highest traded stock, recording a turnover of KES 70.30Mn to account for 19.06% of total market activity and 29.95% of foreign investor activity, followed by East African Breweries Limited (NSE: EABL) with a turnover of KES 56.94Mn representing 15.44% of total market activity and 24.26% of foreign investor activity.

Safaricom Limited (NSE: SCOM) posted the day’s highest net inflows worth KES 8.47Mn and the day’s highest net outflows, worth KES 4.42Mn, were posted by KenGen Limited (NSE: KEGN).