Mpesa bank breaks 3.50 to close @3.60 with intraday high of 3.65. Cant remember seeing 4-5% plus gains on this counter for months!
Most bluechips are testing resistance levels as well as setting all times highs - EABL,ARM & BAT. Fast Money piling up on FTSE-15 index ETF.
I wonder if CBR will be cut by 200bps or more to support that pile in confidence now that the Q1 2012 shows a GDP slump. That's a sign CBK must cut the rate, inflation be damned as well as KES weakening. Tough choices. A CBR rate cut of 200bps or more could force NSE20 to burst 4000pts as the tbill exit ensures.
But macroeconomics slump & elections & euroland debt bomb are barriers that can't be ignored. Oil price nosedive is a saving grace for now and if the oil slump remains till end of 2012, the better for the current account recovery.
KQ now rated 18/- by citi. You can't beat the casino house! The house wants that price and they'll get it!? Remember this house has IFC too!?
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!