80% of markets in favour of a Clinton’s win
All eyes were transfixed on the US presidential election, which has been an extraordinary spectacle from Donald Trump’s linguistic warfare from “Little Marco” to ‘’Low-energy Jeb’’ to ‘’Crooked Hillary’’ through to the lastgasp interventions by the FBI. You could not have made up the story line if you tried. Accusations of Russia’s President Vladimir Putin’s nefarious hand and WikiLeaks founder Julian Assange drip feeding the pedestal emails, all confirm an extraordinary electoral cycle. As we waited for the results, prediction markets by yesterday afternoon had Hillary Clinton at an 80 per cent probability with Donald Trump at 20 per cent. A Trump win would catch the markets as offguard as Brexit.
Closer to home, media reports indicated that Prime Bank’s chairman Rasik Kantaria was a 47.32 per cent shareholder in Crane Bank Uganda, which was placed into receivership last month. Prime Bank, which is ranked 15th in size out of Kenya’s 40 operational banks, said: “Prime Bank is a professionally run financial Institution regulated by the CBK (Central Bank of Kenya). We are fully compliant and strictly follow the prudential guidelines laid down by the CBK.”
The Nairobi All Share eased back -0.69 points to close at 139.80. The Nairobi NSE20 ticked -6.07 points lower to close at 3242.46. Equity turnover clocked Sh16.316 million. Safaricom eased 25 cents to close at 20.75 and traded 16.019 million shares. The pullback will be shallow and short-lived.
Kenya Airways rallied +4.38 per cent to close at a fresh 2016 high of Sh7.30, and on good volume of 1.074 million shares. Kenya Airways has surged since the announcement of the appointment of Michael Joseph as chairman. Kenya Airways is +48.97 per cent through 2016. Nation Media fell -1.01 per cent to close at fresh multi-year low of Sh98.00 and traded 7,200 shares. Nation Media is -47.38 per cent in 2016.
Equity Bank firmed +1.62 per cent to close at 31.25 and traded 1.942 million shares. Equity Bank’s CEO Dr James Mwangi struck a very positive note about Equity’s position in the new banking normal during the release of Equity’s Q3 16 earnings last week. KCB firmed +0.86 per cent to close at Sh29.00, and traded 757,300 shares ahead of its quarter three earnings release later yesterday. EABL was the most actively traded share today and eased -0.36 per cent to close at 274.00 and traded 699,000 shares.
Kenya Power, which signaled a sharp slow-down in capital expenditure for this financial year to June 2017, traded 1.648 million shares and closed unchanged at Sh9.00. ARM Cement rallied +4.95 per cent to close at a three-week high of Sh26.50