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NSE and the unfolding political drama
guru267
#71 Posted : Thursday, February 18, 2010 6:01:18 AM
Rank: Elder

Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
@all
a couple of buddies of mine and i were having a discussion about the NSE and we concluded that if this political crisis was to continue for a prolonged period it may permanently damage the NSE...

As a result of the election crisis/fraud, collapse of brokers,global downturn foreigners bailed from our market which led to a collapse of stock prices and destroyed confidence of local investors...

with the recent renewed optimism of foreigners in the NSE prices have been revaluing and local interest is slowly coming back..
if GOK collapses foreigners may bail almost permanently and Wanjiku may stick to the fixed income segment for good..
the only result can be a permanently low market P/E for stocks and extremely low turnover...

your thoughts would be much appreciated???
Mark 12:29
Deuteronomy 4:16
ecstacy
#72 Posted : Thursday, February 18, 2010 7:04:54 AM
Rank: Elder

Joined: 2/26/2008
Posts: 4,449
damn! RAO has spoken +vely earlier than expected and the CoE as well as the Politicians have agreed on the draft...time to get in.
guru267
#73 Posted : Thursday, February 18, 2010 7:27:33 AM
Rank: Elder

Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
@ectasy if what your saying is true then wazurians shuold discard my earlier post and prepare for a market rally...
Mark 12:29
Deuteronomy 4:16
ecstacy
#74 Posted : Thursday, February 18, 2010 10:48:14 AM
Rank: Elder

Joined: 2/26/2008
Posts: 4,449
the upward correction for discounted political risk is underway...coalition disagreements are after all not the worst thing!
VituVingiSana
#75 Posted : Thursday, February 18, 2010 2:43:25 PM
Rank: Chief

Joined: 1/3/2007
Posts: 18,347
Location: Nairobi
Maybe Raila created this mess so his buddies could get in cheap? [Just kidding... too many conspiracies on Wazua...]

I was waiting to get in (cheaper) but the ship sailed past me!!!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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