KENYA ELECTION AFFECTS DAR BOURSE PERFORMANCE - Wor'Out Media

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Tuesday, August 15, 2017

KENYA ELECTION AFFECTS DAR BOURSE PERFORMANCE





KENYA general election has affected Dar es Salaam Stock Exchange (DSE) performance to register a market capitalization fall of over 500bn/- in a week.

The exchange fall was attributed after Kenyan cross-listed firms’ share prices tumbled down by between 8.0 and 25 per cent. The bourse market cap drastically dropped by over 500bn/- to 17.7tri/- affected by cross-listed firms from Kenya.

The Kenya Airway share registered a price drop of 22 per cent to 70/-, followed by Uchumi Supermarket 14 per cent to 60/-and EABL 8.0 per cent to 5,240/-. Due to the Kenyan price fall, the DSE index (DSEI) jumped down 61 points from 2,102 points to 2,041 points.

The market uncertainty spreading by Kenyan election also gripped the local listed firms as the bourse turnover decreased by 20 per cent to 3.2bn/- from 4.0bn/- in the week ending last Friday.

The turnover down fall experienced despite a double-increase of share exchanging hands that went up from 0.6million to 1.4million. This was due to the decreasing share price of CRDB by 4.0 per cent to 200/-.

However, DSE share went up by 8.0 per cent to 1,300/- at the close of last week. The best share mover was TBL that dominated the trade by 90 per cent followed by CRDB 7.0 per cent and DSE 2.0 per cent—the remaining firms shared 1.0 per cent.

The CRDB share affected domestic market cap after slide slightly to 7.6tri/- from 7.71tri/-. Tanzania Share Index (TSI)—tracking local share movement—went down also by 11point from 3671points to 3660points.

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