I am not a chartist but it seems to me that there is a mini-rally going on BUT it could be nothing more than a dead cat bounce. Remember elections are coming up in Dec 2012 or March 2013. Add the huge deficit to the books of GoK.

Offers have dried up for many counters especially the 'quiet' counters including Williamson, City Trust, etc

Bid volumes have increased [not the bid prices]

The Kenol Takeover announcement has galvanized investors into looking at stocks vs T-Bills/Bonds whose yields have dropped from the 18-20% range to 13-16% [This has a long way to go].

The KES has stabilized but this seems pegged on high interest rates. What happens if the interest rates drop? Will the cash look to exit to other money markets?

Are folks 'exiting' the Real Estate market (no new investments) & looking at stocks as an alternative?

Your thoughts?

CBK and treasury are the curve balls at the moment... They need to work as a team so that the financial direction of the nation is clear.

VVS, I wouldn't say people are 'exiting' Real Estate (no new investments). On the contrary, there seems to be a whole multitude of mammoth projects in the pipeline...

Totally agreed. I have been trying to say this for months.

When treasury agreed to finance Thika Highway, many people wondered why the govt was spending all that money when Mombasa Highway looked like a more sure bet. The steel and other materials for the construction of Thika rdincreased imports and hence affected exchange rates.

It was obvious that the government was aware that oil wd be struck sooner or later hence Thika rd was to open the corridor to Northern Kenya and Lamu. But the information was never signalled to the markets. The USD exchange rate need not have shot to 107 against the Ksh. The net outflows out of Kenya due to the appreciation have affected many industries that will take time to recover. It is a pity that we did not even take advantage of the poor exchange rate to attract more tourists to Kenya.

whatever this is i will come to such a painful and abrupt end. many will be caught . the levels of optimism have been built,fattening for the kill.

QW just own Up KeKe tuko mbele, dust yourself, learn from it.(palipo wazee hapaharibiki..

LOL. guys try to be mature about your KK share .itsnot a ticket to heaven.
Now to more important issues me am wondering out loud . now who is worse me or guys w/o KK shares or somebody who is spotting the bull rally NOW (@vvs) ! wtf ?
dude either u need to have a change of broker or take your investment seriously .
you are a total embarrassment to the technical analysts around the world . Just stick to your fundermental analysis