BUSINESS

NSE Equities Rise as Investors Increase Activity Despite Global Jitters

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CBK
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Equities at the Nairobi Securities Exchange (NSE) ended the week of January 29, 2026, in the green, offering investors a rare feel-good moment as global markets stayed tense over geopolitical risks and uncertain economic signals.

According to the Central Bank of Kenya (CBK), the local bourse recorded gains across its main indices, supported by stronger trading activity and steady investor interest.

NSE indices rise as trading activity jumps

CBK said the key share price indices posted modest but clear gains over the week. “At the Nairobi Securities Exchange, the NASI, NSE 25 and NSE 20 share price indices increased by 0.29 per cent, 0.16 per cent and 0.73 per cent, respectively, during the week ending January 29, 2026.”

The rise was matched by a sharp increase in market activity, signalling that investors were actively moving money across counters. The CBK reported that market capitalisation also improved, while turnover and volumes surged strongly.

“Market capitalisation, equity turnover and total shares traded also increased 0.28 per cent, 67.55 per cent and 67.01 per cent respectively.” The jump in turnover and shares traded showed that trading momentum strengthened during the review period, even as global sentiment remained cautious.

CBK also noted that money market conditions stayed supportive, helping keep liquidity steady in the financial system. This helped sustain participation in equities, as investors remained active in the market despite uncertainty outside Kenya.

Bond turnover falls as Eurobond yields ease

While the equities market gained, trading in the domestic bond market slowed. The CBK reported that bond turnover in the secondary market declined by 14.64 per cent in the week ending January 29, 2026, reflecting reduced activity in government securities.

Kenya’s international debt market performance was stronger, with Eurobond yields declining during the week. The CBK said yields on Kenya’s Eurobonds dropped by an average of 9.59 basis points, a sign of improved sentiment in the external market.

Similar yield declines were also recorded for Angola and Côte d’Ivoire, indicating that investors were slightly more optimistic about selected African sovereign debt instruments during the week.

On the global front, CBK said major central banks held their ground on interest rates as they monitored demand trends and geopolitical risks. “The U.S. Federal Reserve, Bank of Japan, and Bank of Canada held their policy rates amid uncertain global demand and geopolitical risks.”

The CBK report also highlighted developments in the United States economy, which grew by 4.4 per cent in the third quarter of 2025, although labour market conditions remained weak despite a fall in weekly jobless claims. During the week, the U.S. Dollar Index weakened by 2.11 per cent.

Oil prices also climbed, adding to global market pressure. Murban crude traded at USD 68.46 per barrel on January 29, up from USD 64.10 a week earlier. CBK linked the rise to “increased concerns about rising U.S.-Iran geopolitical tension, which could disrupt oil supplies.”

Even with global uncertainty still high, the NSE managed to hold steady and post gains, supported by increased trading activity and stable liquidity conditions at home.

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