Currency updates from Tuesday’s session
Traders said dollar inflows from commodities’ exports and subdued corporate demand across the sectors kept the hard currency on the back foot.
The Ugandan shilling opened the week trading at 3660/3670 and appreciated by 5 shillings against the US Dollar, closing at the 3655/3665 levels on Monday.
Ali Twaha
Journalist @New Vision
KAMPALA - The Ugandan shilling opened the week trading at 3660/3670 and appreciated by 5 shillings against the US Dollar, closing at the 3655/3665 levels on Monday.
Traders said dollar inflows from commodities’ exports and subdued corporate demand across the sectors kept the hard currency on the back foot.
The local unit is still forecast to trade within the same narrow range 3650-3700 supported by expected commodity inflows. Money markets were liquid according to Absa, with overnight and one-week trades averaging at 10.94% and 11.33% respectively. Bank of Uganda will hold a Treasury Bill auction on April 23, 2025.
In the global markets, the dollar hovered around multi-year lows against the euro as President Donald Trump's attacks on the Federal Reserve raised concerns about the central bank's independence.
According to Reuters, analysts said the dollar was left in an especially fragile state amid market concerns over the U.S. administration’s tariffs, which could trigger a global trade war.