The Uganda Shilling was up a shade in early part of the week on subdued appetite for forex from market players but towards close of the week, the unit marginally weakened undercut by a mild rebound in demand across all sectors during the week ending 16th November 2018.
Trading was in the range of 3730/3740.
In the regional markets, the Kenya shilling came under pressure and weakened to a 10 month low on account elevated import demand and excess liquidity in the money markets. Trading was in the range of 102.95/103.15.
In international currency markets, the US dollar was lifted by events in Britain as the pound sterling lay battered after a bout of political turmoil fanned fears that the UK could crushed out of the EU without a divorce deal.
In commodities market, oil prices regained a little composure after the recent drubbing helped by a decline in US fuel stockpiles and possibility of a cut in OPEC output. A barrel of Brent crude traded USD 67.14.
“In the coming days, the [Uganda] shilling is likely to firm up, supported by trickle in of end year inflows, while on the demand side, market activity is expected to slow down on account of corporates beginning their end of year winding up processes,” says Stephen Kaboyo, an analyst and Managing Director at Alpha Capital Partners.