Against a backdrop of muted demand for commodities and ongoing uncertainty in global financial markets, the MSCI Frontier Markets Africa Index was down -1.53% in August and -14.08% in the red year to date.
Of the 11 main Africa indices ex South Africa, six retreated and five advanced in August.
Kenya’s NSE 20 suffered a -8.88% rout – its fourth straight month of declines – extending its year-to-date loss to -21.33%. Kenyan bank shares nosedived, some by more than 20%, after President Uhuru Kenyatta signed into law a bill that caps commercial lending rates at 4% above the central bank rate and also sets a minimum interest rate for bank deposits.
The Lusaka All Share Index plunged -6.6% in August and was -23.49% in deficit for the year so far.
Namibia’s NSX Overall Index gave back -3.37% to settle 16.09% up year to date.
Botswana’s Gaborone Index has lost ground in six of the eight months since January, retreating -2.73% in August to extend its year-to-date decline to -9.72%.
The Nigeria All Share Index shed -1.47% to end the month -3.64% down on the year. Data from the Nigerian Bureau of Statistics showed the country had entered into recession while a shortage of hard currency continued to impact on businesses.
The Morocco All Share Index (MASI) slipped -0.22% in August to settle 10.48% higher on the year.
On the back of a 14.99% rise in July, Egypt’s EGX 30 led the gainers with a 2.19% increase to end the month 16.44% in the black so far for the year.
The SEMDEX in Mauritius gained 1.5%, nudging it 0.15% above the line YTD.
Tunisia’s TUNINDEX advanced by 1.27% taking its YTD gain to 7.6%.
Ghana’s GSE Composite Index added 0.5%, reducing its YTD loss to -9.5%.
Zimbabwe’s ZSE Industrial Index inched up by 0.42% to end the month -13.57% down YTD. Copyright. HedgeNews Africa – September 2016.