Market Summary
The Nairobi Securities Exchange closed the session bullish, extending gains across all major indices as strong foreign investor inflows underpinned market sentiment. Despite a notable decline in equity turnover, select large-cap and defensive counters supported the upward momentum, with significant activity concentrated in exchange-traded and banking securities.
Foreign participation increased meaningfully, positioning the market ahead of regional peers amid supportive global cues.
Key Market Highlights
Equities Market
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Nairobi All Share Index (NASI) rose 0.4% to close at 195.71
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NSE-25 Index led gains, advancing 0.6%, while Banking Sector Index gained 0.6%
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Equity turnover declined 42.9% to KES 590.31 Mn, reflecting selective trading
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Foreign investors recorded net inflows of KES 508.33 Mn, up sharply from KES 106.64 Mn in the prior session
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ABSA New Gold ETF dominated market activity, accounting for 67.5% of total equity turnover
Top Gainers
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Sanlam Kenya (+7.3%)
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NCBA Group (+5.3%)
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ABSA New Gold ETF (+4.7%)
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CIC Insurance Group (+4.6%)
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Standard Group (+4.4%)
Top Losers
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Britam Holdings (-5.3%)
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Crown Paints (-5.2%)
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Nairobi Business Ventures (-3.4%)
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Kakuzi Plc (-2.1%)
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BK Group Plc (-2.1%)
Fixed Income Market
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Bond turnover declined 41.0% to KES 10.53 Bn
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The FXD segment dominated, accounting for 87.7% of high-value trades
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91-day T-bill rates edged higher, while 182-day and 364-day rates remained largely stable
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Softer activity suggests temporary rotation toward equities and alternative instruments
Global Market Overview
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Global markets traded mixed to firm, with the S&P 500 and Nasdaq reaching new record highs
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Optimism was driven by better-than-expected corporate earnings, particularly in industrial and logistics sectors
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Oil prices strengthened, supported by U.S. winter storm disruptions and ongoing geopolitical risks, though gains were capped by ample global supply expectations
Currency & FX
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The Kenya Shilling remained broadly stable against the US Dollar
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Mild depreciation recorded against major global currencies, reflecting stronger external demand
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Regional currency performance remained mixed, with slight strengthening against the Ugandan and Tanzanian Shillings
Derivatives Market
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Contract volumes and values increased sharply, pointing to renewed speculative and hedging activity
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Open interest rose, signaling expectations of continued short-term market movement
Overall Market Takeaway
The market closed on a strong footing, buoyed by robust foreign inflows and broad-based index gains, even as turnover softened. Investor focus remained concentrated in ETFs, banks, and defensive stocks, with global earnings momentum and commodity strength providing additional support. Near-term performance will likely hinge on sustained foreign participation and evolving global macro signals.
