A display of listed equities at the NSE. PHOTO | CITIZEN DIGITAL The wealth of Nairobi Securities Exchange (NSE) investors fell by Ksh.62 billion last month on lower stock valuations in the period.
The drop is represented by the contraction of the NSE market capitalization from Ksh.2.841 trillion to Ksh.2.779 trillion.
The slide in stocks valuations is largely tied to profit taking activity by investors who sought to cash in gains made in recent months.
At the same time, the reversal of gains for the bourse is also linked to expectations for a market correction with the prices of key stocks peaking at new highs.
The Nairobi All Share Index (NASI) fell by 2.2 per cent in September to 178.31 points from 182.33 points on August 31.
The NSE 25 index meanwhile fell by 2.6 per cent to 3914.52 points while the NSE 20 index was largely unchanged at 2031.17 points.
Nevertheless, all three indexes are still positive in the year to date (YTD) trading.
Large-cap stocks including Equity, KCB, EABL and Safaricom have led the observed market correction in September.
The four stocks have for instance shed 4.7, 3.6, 2.8 and 1.2 percentage points in value across the month.
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