Currency updates from Wednesday’s session
Money markets were liquid according to Absa market data with overnight rates averaging 9.64%. Yields on Uganda’s Treasury bills rose on the 91-day tenor but fell on the 182-day and 364-day maturities at Wednesday’s auction.
The Ugandan shilling held steady on Wednesday, fluctuating between 3,665 and 3,675 levels throughout the session against the dollar.
Ali Twaha
Journalist @New Vision
KAMPALA - The Ugandan shilling held steady on Wednesday, fluctuating between 3,665 and 3,675 levels throughout the session against the dollar as both demand and supply remained muted.
Money markets were liquid according to Absa market data with overnight rates averaging 9.64%. Yields on Uganda’s Treasury bills rose on the 91-day tenor but fell on the 182-day and 364-day maturities at Wednesday’s auction.
The 91-day, 182-day, and 364-day Treasury bills cleared at 12.000%, 13.500%, and 14.752%, respectively, compared with 10.384%, 14.001%, and 15.002% at the previous auction. The central bank accepted bids worth sh396.6b.
In global currency markets, U.S. consumer prices rose at a slower pace than expected in February, government data showed. The headline consumer price index (CPI), a key measure of inflation, increased 2.8% in the 12 months to February, easing from 3.0% in January.
The pound edged lower against the dollar to trade at 1.2930 after the UK government decided against immediate retaliation over U.S. steel tariffs, opting instead for broader trade talks.
The euro maintained its bullish stance, trading around 1.0950 against the dollar, supported by reports of progress in Ukraine peace talks.