The Nairobi Stock Exchange (NSE) has seen speculative trading in the past few weeks, particularly in small-cap or underperforming companies, which can resemble a ‘casino’ environment. The ‘small companies’ in the NSE are outperforming blue chip companies that has resulted in some of the share prices going up by even more than 105%. This is gambling! What Is Speculative Trading? This involves buying or selling stocks based on anticipated price movements rather than the company’s fundamental value. It’s driven by expectations of short-term gains, often fueled by rumors, social media hype, or market psychology. The factors contributing to speculative trading…