UPDATE 1-Bargain hunters send Kenyan shares up, shilling firms

Tue Feb 4, 2014 9:41am EST

Related Topics

* Main share index jumps 1.15 pct, blue chips surge
    * Banks cut long dollar positions, boost shilling

 (Adds closing rate, shares)
    By Duncan Miriri
    NAIROBI, Feb 4 (Reuters) - Kenyan shares jumped more than 1
percent on Tuesday, driven up by investors looking for discounts
after last week's losses, while the shilling edged up against
the dollar.
    The benchmark NSE-20 share index finished the day
at 4,883.90 points, 1.15 percent higher, on rebounding demand
for blue chips following a sell-off last week, which was part of
the broader pressure on emerging and frontier market assets.
    "KCB was at 50 shillings but now it is at 44 shillings.
Safaricom is also still lower so there is demand," said Ronald
Lugalia, a research analyst at Afrika Investment Bank.
    Shares of KCB Bank, Kenya's leading bank, jumped
3.56 percent to close at 44 shillings while shares in Safaricom
, the country's main telecoms operator, rose 1.4
percent to close at 11.35 shillings.
    In the foreign exchange market, the shilling closed
the day at 86.30/40 per dollar, slightly up from 86.45/55 at the
previous day's close.
    Duncan Kinuthia, head of trading at Commercial Bank of
Africa, attributed the gains to banks cutting long dollar
positions and inflows from exporters.
    "Elevated overnight rates also remain supportive to the
local unit," he said.
    The weighted average interest rate on the overnight
borrowing market for banks inched down to 11.7060 percent on
Monday from 11.8514 percent on Friday. 
    In the debt market, bonds worth 3 billion shillings ($34.66
million) were traded, up from 2 billion shillings worth of bonds
traded in the previous session.
    
               ...........................Shilling spot rates 
                  .....................Shilling forward rates 
                           .......................Cross rates 
         ..................................Local contributors 
           .......................Central Bank of Kenya Index 
          .....................Kenyan Bonds contributor pages 
                          ...............Treasury bill yields 
        ..................Central bank open market operations 
        .........................Horizontal repo transactions 
         ,       ................Daily interbank lending rate 
              .............................Kenya Bond pricing 
             ..................Real time Africa economic data 
 <ECI & AFR> ...........................African economic news
          .................................NSE-20 Share Index
         .................................NSE All Share Index
             ...........................FT NSE Kenya 15 Index
             .......................... FT NSE Kenya 25 Index
  SPEED GUIDES:
                                    
            
 ($1 = 86.5500 Kenyan shillings)

 (Editing by George Obulutsa and Susan Fenton)
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