Currency updates from Tuesday’s session
The Bank of Uganda stayed out of the repo market ahead of the treasury bill auction worth sh355b tomorrow (May 7).
The Uganda shilling traded stable on Tuesday as both demand and supply squared off on the day, traders said.
Ali Twaha
Journalist @New Vision
KAMPALA - The Uganda shilling traded stable on Tuesday as both demand and supply squared off on the day, traders said. The local unit traded at 3655/3665 levels all day.
Money markets opened the week liquid according to Absa data, with overnight and one-week trades averaging at 10.76% and 11.19% respectively. The Bank of Uganda stayed out of the repo market ahead of the treasury bill auction worth sh355b tomorrow (May 7).
In the global currency markets, the U.S. dollar edged lower Tuesday, with investors seemingly wary of putting money into U.S. assets given growth concerns on the back of President Donald Trump’s volatile trade policies, according to reports.
The Dollar Index, which tracks the greenback against a basket of six other currencies, dropped 0.2% to 99.420, having fallen 4.3% in April, the largest monthly decline in over two years, reports show.
In Europe, EUR/USD traded 0.3% higher to 1.1343, with the single currency benefiting from the dollar weakness. GBP/USD edged 0.2% higher to 1.3324, ahead of this week’s policy meeting by the Bank of England.