Nairobi Securities Exchange
The Nairobi all-share index closed the previous trading session at 134.86, shedding 0.07%. The index has returned -18.98% year to date. The current 52-week range is 116.88 – 181.92.
The NSE 20 index closed yesterday’s trading session at 1737.96 and is currently trading at 1746.03, up 0.46%.
In the previous trading session, PORT led the gainers at 9.71%, closing at KES7.46 per share, while LBTY came last, dropping 10% and closing at KES6.30 per share
In today’s early morning trading session, TCL leads the gainers at 8.33%. UCHM has dropped 3.85% so far. SCOM leads the overall volume traded with 2.3M shares traded so far.
Global Markets
Asia
A growing number of bond funds in China have suspended taking subscriptions or capped inflows amid signs that significant amounts of money are gushing into fixed income products as stocks wobble and banks cut deposit rates.
On Friday alone, more than a dozen bond funds announced measures to restrict new purchases, according to fund managers’ filings.
Some homebuyers in China – stuck in limbo amid the country’s massive property crisis – have shifted into dwellings out of dire need or to force developers or local authorities to finish the projects.
China’s state banks were ordered to buy stocks to prevent selling, per Reuters.
HSI dropped 4.06% in the previous week closing at the lowest levels since November 2011.HK50 fell1.33% in the last trading session. Sensex lost 1.50%. Nifty dropped 1.51%, closing the day at 17325.20. Tokyo’s Nikkei fell 1.5%.
Asian stocks open weak today. HSI is down 0.31%, and Nikkei is up 0.78% in the early morning trading session.
Europe
A right-wing alliance led by Giorgia Meloni’s Brothers of Italy party was on course for a clear majority in the next parliament, giving the country its most right-wing government since World War Two. Meloni, as leader of the largest coalition party, was also likely to become Italy’s first woman prime minister.
CME GBP futures halted.
Denmark warns of the danger of spills from tankers carrying Russian oil. Sanctions threaten to prevent local pilots from guiding ships through treacherous Danish straits.
Euro Stoxx 50 futures lost 2.76% in the previous trading session. EU50 fell 2.51%. UK100 fell 2.12%. Dax index futures fell 2.55%. DE30 dropped 2.44%, closing the day at 395.21
European stocks open weak today. Euro Stoxx 50 down 0.60% pre-market. Dax index futures down 0.61% pre-market.
US
Global investors are preparing for more market mayhem after an extraordinary week of rate hikes that savaged asset prices worldwide as central banks ramped up the fight against inflation.
The Federal Reserve delivered its third straight 75 basis point rate hike while Japan intervened to shore up the yen for the first time since 1998. The British pound slid to a fresh 37-year trough against the dollar after the country’s new finance minister unleashed historic tax cuts and massive increases in borrowing.
The stock market will fall another 26% if the Fed sparks a recession in its fight against inflation, as per Goldman Sachs.
Roughly $30 trillion was wiped out from the bond, credit, equity and crypto markets since the peak in 2021. It’s roughly 30% of the global GDP.
DXY hit 114.54, a 20-year high.
SPX dropped 1.72%. QQQ fell 1.63%. DJI fell 1.62%. NDQ dropped 1.66%
US Futures trade lower ahead of the market open. S&P 500 E- mini futures trades at -0.70% today. NASDAQ 100 E-mini futures trades at -0.71% today.
Key Events Today
None
Earnings
None
Crypto
Interpol has issued a red notice for Do Kwon, requesting law enforcement agencies worldwide to locate and arrest the Terraform Labs, $LUNA / $UST founder. Their blockchain startup collapsed earlier this year and wiped out investors’ $40 billion. The step is a positive step toward the right direction for the crypto market.
BTC lost the 18870 support level as it closed the week at $18870, the lowest weekly close since November 2020. The break of a critical support level indicates that the probability of trading lower in the week is high. There is potential bullish divergence on the three-day chart and weekly chart. High timeframe divergence takes a while to play out. This is the only thread of hope for bulls. BTC confirmed a local top on the daily chart forming a lower high. $17500 is the next key level to watch for BTC. Daily RSI is approaching the bearish control zone
Daily bullish divergence on ETHBTC is confirmed. ETHBTC gained 5.94% in three days after the confirmation. If the divergence has played out entirely, that is a strong indication of weakness. Alts may dump hard if the market drops soon. ETHBTC’s next support levels to watch are 0.651 and 0.572. ETHBTC buyer momentum is increasing on the twelve-hour chart. ETHBTC four hour divergence played out strongly.
USDT.D looks strong. The next target is 8.21% which will correlate with current BTC lows at $17500. USDT.D bounced strongly from support indicating the chances of breaking previous highs at 7.71 are high. Bearish divergence on the daily chart is not playing out as expected. USDT.D is eating up high timeframe bearish divergence, similar to DXY.
Key Resistance Levels
18804 – 18877. Daily open and resistance zone
19031 – 19111. Previous highs and resistance zone
19156 – 19194. Resistance zone
19281. Daily naked level
20159 – 20235. Supply zone
20427. Daily level resistance
Key Support Levels
18629 – 18568. Support zone
18445. Daily level and previous lows
17564. Weekly level support
17203. Weekly level support
Commodities
Gold fell 1.69% in the previous trading session. Gold is currently trading -0.52% today
USOIL dropped 4.97% in yesterday’s trading session. USOIL is currently trading -1.75% today
UKOIL fell 4.10% in the previous trading session. UKOIL is currently trading -1.78% today
Currencies
EURUSD is down 0.66% in today’s trading session
USDJPY is up 0.59% in today’s trading session
GBPUSD is down 2.78% in today’s trading session
USDCHF is up 0.40% in today’s trading session
USDCAD is up 0.33% in today’s trading session
AUDUSD is down 0.55% in today’s trading session
NZDUSD is down 0.45% in today’s trading session
AUDJPY is down 0.08% in today’s trading session
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