Nairobi Securities Exchange dips to COVID-19 lows as U.S. rates batter stocks

Nairobi, Kenya | Xinhua |  Affected by foreign investors’ flight in the wake of rate hikes in the United States, the Nairobi Securities Exchange has returned to lows last seen at the peak of the COVID-19 pandemic in 2020, reported the Kenya-based newspaper Business Daily.

The U.S. Federal Reserve benchmark rate now stands at a range of 3.0-3.25 percent, up three percentage points since the start of the year, and projections show it would rise to more than 4.5 percent at the end of 2023.

According to the report released on Monday, the market is being weighed down by a reduced appetite for emerging markets after a jump in interest rates in developed markets such as the United States.

At the Kenyan bourse, foreign investors account for up to 80 percent of the daily traded turnover. ■