Business
Shilling recovers in Tuesday’s session after morning pressure
The local unit opened the day weaker at 4275/4285 before slipping to an intraday low of 4295/4305 during the morning session. Market players attributed the pressure to robust corporate buying of dollars.
Shilling recovers in Tuesday’s session after morning pressure
By: Ali Twaha, Journalist @New Vision
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The Uganda shilling closed unchanged against the dollar on Monday after recovering from early losses driven by strong corporate demand for the greenback.
The local unit opened the day weaker at 4275/4285 before slipping to an intraday low of 4295/4305 during the morning session. Market players attributed the pressure to robust corporate buying of dollars.
However, the shilling regained its earlier losses in afternoon trade, supported by end-month inflows that helped offset demand, traders said. It closed the session unchanged at 4275/4285.
In the money markets, liquidity conditions improved following government disbursements of about sh400b at the end of last week, according to traders at Absa.
The increased shilling liquidity contributed to a modest easing in funding rates, which declined from 12.5% to 12.2%.
In the money markets, liquidity conditions improved following government disbursements of about sh400b at the end of last week, according to traders at Absa.
The increased shilling liquidity contributed to a modest easing in funding rates, which declined from 12.5% to 12.2%.