The Uganda Shilling was broadly stable for the week ending 18th August 2017 supported by inflows from coffee exports and other commodities against very low demand.
Trading was in the range of 3695/3605. In the interbank money market, overnight funds traded at 7% while 1 week money traded at 10%.
In the fixed income space, Shs165 billion was on offer for Treasury Bills. Yields dropped across the curve to 9.873%, 10.178% and 11.023% for 91, 182, and 364 days respectively.
In the international markets, Wall Street edged higher but was seen to close well off session highs and the dollar fell on the latest political turmoil in Washington while on the other hand, the US Federal Reserve minutes indicated worries about the low inflation environment.
In commodities markets, oil prices recovered from previous losses to trade at $ 50.43 per barrel.
Stephen Kaboyo, an analyst and Managing Director at Alpha Capital Partners forecasts the Uganda Shilling to remain stable in the coming week with minimal scope to strengthen as end month gets closer.
