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How to tell NSE has bottomed out
youcan'tstopusnow
#1421 Posted : Friday, December 30, 2011 6:41:13 AM
Rank: Chief


Joined: 3/24/2010
Posts: 6,779
Location: Black Africa
Why are t-bills auctions continually being undersubscribed yet the rates are 'attractive'?
http://www.businessdaily...8/-/2sa0rw/-/index.html

GOD BLESS YOUR LIFE
sparkly
#1422 Posted : Friday, December 30, 2011 8:09:13 AM
Rank: Elder


Joined: 9/23/2009
Posts: 8,083
Location: Enk are Nyirobi
youcan'tstopusnow wrote:
Why are t-bills auctions continually being undersubscribed



lack of liquidity from banks which have been forced to maintain higher liquidity ratios by CBK. CBK lending rate and interbank lending rates also high, forcing banks to maintain cash to avoid borrowing. The next biggest investors in TBills ie insurance companies are running out of cash.
Life is short. Live passionately.
QW25081985
#1423 Posted : Friday, December 30, 2011 9:52:14 AM
Rank: User


Joined: 8/29/2011
Posts: 1,045
Location: Mtaani
last trading day of the year . atleast the index should look up and close w/ a gain
hisah
#1424 Posted : Friday, December 30, 2011 11:29:22 AM
Rank: Chief


Joined: 8/4/2010
Posts: 8,977
sparkly wrote:
youcan'tstopusnow wrote:
Why are t-bills auctions continually being undersubscribed



lack of liquidity from banks which have been forced to maintain higher liquidity ratios by CBK. CBK lending rate and interbank lending rates also high, forcing banks to maintain cash to avoid borrowing. The next biggest investors in TBills ie insurance companies are running out of cash.

smile Le liquidity squeeze & le huge gubberment fund gap... Silently, I'm watching, slowly with baited breath, patiently waiting for the white flag to go up... Very cryptic this smile
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
Cde Monomotapa
#1425 Posted : Friday, December 30, 2011 11:31:09 AM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
"For a very long time it has been cited as a huge dis-advantage the limited participation & intergration of sub-Saharan Africa in global finance, economics & trade. But as it is now and into the foreseeable future, that happens to be our greatest strength and attractiveness to both local & foreign investments especially against the back-drop of the economic turmoil in the advanced economies. Let the good times roll Laughing out loudly Afrika Oyee!! Thank you." - Uncle James.
Sure
#1426 Posted : Friday, December 30, 2011 2:13:04 PM
Rank: Member


Joined: 9/9/2010
Posts: 546
Location: Garissa
youcan'tstopusnow wrote:
Why are t-bills auctions continually being undersubscribed yet the rates are 'attractive'?
http://www.businessdaily...8/-/2sa0rw/-/index.html



Did you hear that parliment intends to regulate the profit spreads for banks. The banks are currently making 12 shillings interest from every 100 shillings you deposit. This is on top of the CBR rate of 18%.

Banks are thus very angry, like a scorned wife, when parliament proposes to cut that cheese down to size and also force the same banks to give you something decent for your deposits in banks.

The banks thus are hooding the cash to starve the government of cash it raises through bonds and bills until the government behaves.

If you have the cash now, you are king. This are the times when I and others claim the cash to be king if you know how to make better use of it.

Am searching for...got it.

From Buisness daily.

Barely four months after having to cope with a sudden surge in interest rates, the banking sector will open 2012 with the dark cloud of looming lending rate controls hanging over its head.

Parliament, in its last sitting on December 22, witnessed a heated debate that was sparked by Gem MP Jakoyo Midiwo’s proposal to limit the maximum lending rate to four percentage points above the Central Bank Rate (CBR).

If passed into law, the new rule would also force lenders to pay interest on savings of at least 70 per cent of the CBR.
Wisdom to detect when share prices hit rock bottom.
When interest on bonds keep going up, you know the bear run is on high street. When interest on bonds start leveling, the bear has met the bull and they have hit rock bottom. When the interest rates on bonds start coming down, the bull has overpowered the bear and you better be riding the bull.
mlennyma
#1427 Posted : Friday, December 30, 2011 4:08:06 PM
Rank: Elder


Joined: 7/21/2010
Posts: 6,192
Location: nairobi
Is this why the equity share is coming down to roost?
"Don't let the fear of losing be greater than the excitement of winning."
jerry
#1428 Posted : Friday, December 30, 2011 4:28:02 PM
Rank: Elder


Joined: 9/29/2006
Posts: 2,570
mlennyma wrote:
Is this why the equity share is coming down to roost?

As the standoff continues one could go for bank shares at a bargain(they'll make money in 2011) or gov bonds(high int. rates not forever). Will Baks sign the BILL into law if passed by parliament or does he have a choice?
The opposite of courage is not cowardice, it's conformity.
Cde Monomotapa
#1429 Posted : Friday, December 30, 2011 5:31:00 PM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
mlennyma wrote:
Is this why the equity share is coming down to roost?

Nope. Just that KCB Group, formerly known as KCB, is back at the top spot smile #ROOARR!!
mwekez@ji
#1430 Posted : Friday, December 30, 2011 6:02:02 PM
Rank: Chief


Joined: 5/31/2011
Posts: 5,121
index has closed the yr at 3,184.71. Not that baaaaad

Happy new year mates
QW25081985
#1431 Posted : Friday, December 30, 2011 7:10:49 PM
Rank: User


Joined: 8/29/2011
Posts: 1,045
Location: Mtaani
atleast the index closed up ...lol...nice morale for 2012 ...
guru267
#1432 Posted : Friday, December 30, 2011 7:26:34 PM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
mwekez@ji wrote:
index has closed the yr at 3,184.71. Not that baaaaad

Happy new year mates


I think you mean 3,205.02
Mark 12:29
Deuteronomy 4:16
simonkabz
#1433 Posted : Friday, December 30, 2011 7:38:05 PM
Rank: Elder


Joined: 3/2/2007
Posts: 8,776
Location: Cameroon
QW25081985 wrote:
atleast the index closed up ...lol...nice morale for 2012 ...

I never quite get ua stand bw. QW.
TULIA.........UFUNZWE!
youcan'tstopusnow
#1434 Posted : Friday, December 30, 2011 7:41:07 PM
Rank: Chief


Joined: 3/24/2010
Posts: 6,779
Location: Black Africa
simonkabz wrote:
QW25081985 wrote:
atleast the index closed up ...lol...nice morale for 2012 ...

I never quite get ua stand bw. QW.

Grab a chair and join the clubsmile
GOD BLESS YOUR LIFE
Cde Monomotapa
#1435 Posted : Friday, December 30, 2011 7:49:42 PM
Rank: Chief


Joined: 1/13/2011
Posts: 5,964
youcan'tstopusnow wrote:
simonkabz wrote:
QW25081985 wrote:
atleast the index closed up ...lol...nice morale for 2012 ...

I never quite get ua stand bw. QW.

Grab a chair and join the clubsmile

holycow
#1436 Posted : Friday, December 30, 2011 8:13:15 PM
Rank: Veteran


Joined: 11/11/2006
Posts: 972
Location: Home
guru267 wrote:
mwekez@ji wrote:
index has closed the yr at 3,184.71. Not that baaaaad

Happy new year mates


I think you mean 3,205.02


Mmmh.
Genghis Capital Ltd. @Genghiscapital
"HIT"- We've been talking about closing the year at 3,200 for the longest... Ladies & Gents - NSE 20 closed the year at .... 3,205.02

NSE Website 3,184.71

QW25081985
#1437 Posted : Friday, December 30, 2011 9:04:44 PM
Rank: User


Joined: 8/29/2011
Posts: 1,045
Location: Mtaani
Cde Monomotapa wrote:
youcan'tstopusnow wrote:
simonkabz wrote:
QW25081985 wrote:
atleast the index closed up ...lol...nice morale for 2012 ...

I never quite get ua stand bw. QW.

Grab a chair and join the clubsmile



Laughing out loudly Laughing out loudly Laughing out loudly . what is so funny ...si we closed on an up ..not sayin 2012 will rally. coz i doubt if this is even a santa clause rally ...mambo moto moto 2012
mwekez@ji
#1438 Posted : Friday, December 30, 2011 10:07:18 PM
Rank: Chief


Joined: 5/31/2011
Posts: 5,121
holycow wrote:
guru267 wrote:
mwekez@ji wrote:
index has closed the yr at 3,184.71. Not that baaaaad

Happy new year mates


I think you mean 3,205.02


Mmmh.
Genghis Capital Ltd. @Genghiscapital
"HIT"- We've been talking about closing the year at 3,200 for the longest... Ladies & Gents - NSE 20 closed the year at .... 3,205.02

NSE Website 3,184.71



Whenever I have contradictory info, I take NSE as the authority
the deal
#1439 Posted : Saturday, December 31, 2011 11:11:48 AM
Rank: Elder


Joined: 9/25/2009
Posts: 4,534
Location: Windhoek/Nairobbery
NSE20 just closed 2011 in bear territory so nothing to be excited about. In 2012 alot of variables at play:- Inflation, Elections, Monetary policy and broke GoK.
hisah
#1440 Posted : Saturday, December 31, 2011 3:18:33 PM
Rank: Chief


Joined: 8/4/2010
Posts: 8,977
youcan'tstopusnow wrote:
simonkabz wrote:
QW25081985 wrote:
atleast the index closed up ...lol...nice morale for 2012 ...

I never quite get ua stand bw. QW.

Grab a chair and join the clubsmile


@simon - I hope u don't burst your brains trying to figure out d'oh! smile
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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