Nairobi Securities Exchange
The Nairobi all-share index closed the previous trading session at 134.96, gaining 1.44%. The index has returned -18.92% year to date. The current 52-week range is 116.88 – 181.92.
The NSE 20 index closed yesterday’s trading session at 1748.95, down 5.03 points.
In the previous trading session, OLYMPIA led the gainers at 7.36%, closing at KES2.77 per share, while CROWN PAINT came last, shedding 10.00% and closing at KES39.15 per share
In today’s early morning trading session, NMG leads the gainers at 7.74%. SCBK has dropped 1.45% so far. SCOM leads the overall volume traded with 1.49M shares traded so far.
Global Markets
Asia
Asian shares bounced on Tuesday though the gains were capped with investors firmly focused on the next FED meetings this week, which will likely deliver more interest rate hikes.
Officials in Shanghai, China‘s most prominent commercial centre, launched eight infrastructure projects on Tuesday with a total investment of 1.8 trillion yuan ($257 billion), state media said. The move appears to be a bid to recharge the engine of China’s biggest city as Shanghai’s economy slumped 13.7% in the second quarter when Covid-19 outbreaks led to citywide lockdowns in April and May.
HSI bounced 0.43% in yesterday’s trading session. HK50 lost 0.62%. Sensex rose 0.28%. Nifty gained 0.24%, closing the day at 17813.30. Tokyo’s Nikkei shed 0.96%.
Asian stocks open weak today. HSI is down 1.46%, and Nikkei is down 0.41% in the early morning trading session.
Europe
European governments must push back against fossil fuel companies’ efforts to capitalise on the energy crisis by locking consumers into long-term dependence on hydrocarbons, former US vice-president Al Gore has said.
The Dutch government has raised the country’s minimum wage by 10 per cent as lower-paid workers grapple with the impact of the soaring cost of food and fuel, and housing. The measure, the centrepiece of an €18bn aid package to help households cope with rising inflation and energy prices, was unveiled in the budget on Tuesday.
Euro Stoxx 50 futures fell 1.57%. EU50 lost 1.61%. UK100 dropped 1.05%. Dax index futures fell 1.77%. DE30 dropped 1.09%, closing the day at 409.09.
European stocks trade slightly lower today. Euro Stoxx 50 down 0.20% pre-market. Dax index futures down 0.23% pre-market.
US
The Federal Reserve will keep tightening until the fed funds rate hits about 4.25%. At the same time, the yield curve will stay inverted longer than usual, and America will enter recession in 2023’s first half, the Wells Fargo Investment Institute predicts. The FED may raise interest rates by 0.75 basis points. The market has priced in a 0.75 rate hike.
Nearly 1 in 5 consumers in the US have closed an investing, trading or brokerage account over the past 12 months, with more closures, 21%, among millennial and Gen Z respondents, an Ally survey of 900 investors found.
SPX lost 1.13%. QQQ slid 0.80%. DJI fell 1.01%. NDQ shed 0.85%
US Futures trade slightly higher ahead of the market opening. S&P 500 E- mini futures trades +0.17% today. NASDAQ 100 E-mini futures trades +0.15% today.
Key Events Today
FED interest rate decision. 21:00 EAT
FED press conference. 21:30 EAT
Earnings
None
Crypto
Equity exchange operator Nasdaq has been plotting a move into institutional crypto custody service, according to several people briefed by the company.
Binance and FTX Make Top Bids for Bankrupt Lender Voyager
BTC fell 3.38% in yesterday’s trading session. There is potential bullish divergence on the daily chart, which will be confirmed once BTC forms the next low. RSI entered the bearish control zone after 11 days of being neutral, indicating weakness. BTC held support at $ 18700, which was tested thrice and is likely to break on the fourth test. If BTC breaks the level, a test of previous lows is expected at $ 18452. There is a potential for a double bottom at these lows followed by a bounce. However, price action will be dictated by the FOMC press conference today. The eight-hour bullish divergence may have played out weakly, a bad sign for bulls.
If ETHBTC forms a low at the current levels on the daily chart, bullish divergence will be confirmed, and an alt rally will follow. Selling momentum is decreasing on ETHBTC. ETHBTC formed a lower high on the four-hour chart. ETHBTC needs to reclaim 0.0731 to show strength. The following support level is 0.0652. ETHBTC lost the weekly ten ema for the first time in 133 days.
USDT.D continues forming bearish divergence on the daily chart. USDT.D broke through previous highs and used the highs as support. An indication of strength. The next resistance level is 8.22%.
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