NSE Remains Resilient Against Continued Foreign Investor Exits

Nairobi Securities Exchange (NSE) closed on a mixed note Wednesday, with broad market indices remaining resilient despite a sharp decline in trading activity and continued foreign investor outflows.

The day’s top gainer was Sameer Africa Plc, who share price rose 5.14% to close at KSh 17.40 while the top Loser was Britam Holdings Plc, which declined 9.70% to KSh18.15, ending its four-session rally.

KCB Group dominated trading, accounting for 32.4% of total market turnover of KSh 112.4 million, with the counter gaining 0.9% to close at KSh 82.00.

Kenya Power (KPLC) advanced 1.3% to KSh 20.00, its highest trading level since July 2011, underscoring sustained investor optimism around the counter.

Family Bank continued attracting investor interest, gaining 2.3% to KSh 26.65, while Diamond Trust Bank added 2.1% to close at KSh 149.50.

Equity turnover declined significantly by 64.9% to KSh 347.27 million, suggesting investors adopted a more cautious stance following recent market gains.

Local investors remained the dominant market participants, contributing 71.7% of traded volume.

Foreign investors remained net sellers, recording approximately US$ 1.1 million in net outflows, with the largest exits observed in KCB Group, while selective buying was noted in Shri Krishna Overseas.

 NSE Market Indicators:

NASI: up 0.37%

NSE 10: up 0.45%

NSE 25: up 0.30%

NSE 20: down 0.06%

NSE Market Capitalisation recorded an increase to KSh 3.903 trillion while in the Fixed Income Market, Bond market turnover declined 36.5% to KSh 6.6 billion, reflecting lighter activity across the fixed-income market.

“This Wednesday’s session reflected a market taking a breather after recent rallies. While liquidity softened and foreign investors remained net sellers, the resilience of the broader indices and continued strength in selected banking and utility counters suggest that underlying investor sentiment remains constructive. Going forward, entry discipline remains key—in the current environment, investors should avoid chasing prices higher and instead look to accumulate quality counters during periods of consolidation or market weakness,” said Dedan Maina, CFA at Ketu Capital.