Browsing: money markets

Concerns about the pandemic especially with new fast spreading mutations, heightened political activity and uncertainty around the shape of business and economic recovery continues weighing heavily on risk asset pricing in the local market.

The distribution of vaccines is off to a slow start especially in the developed countries while locally, news flow indicate vaccines will be available later this month than as previously indicated.

The year has begun on a cautiously positive tone with market generally on the uptrend; activity gradually picking up following the end of the Christmas and New Year holidays. The NSE-ASI and NSE-20 are up 1.2% and 1.8%, so far this year respectively. The prospects of improvement in business environment from the depths of 2020, investors are cautiously looking at the attractive valuations in the markets although inherent risks including economic recovery, cashflow constraints and heightened political activity with the likely upcoming referendum.