Shilling to stay stable
supply. Alpha Capital Managing Director Stephen Kaboyo says although Bank of Uganda was expected to have an auction y ...
The shilling is projected to stay stable over the coming week due to even demand and supply.
Alpha Capital Managing Director Stephen Kaboyo says although Bank of Uganda was expected to have an auction yesterday, portfolio flows targeting the treasury bills auction were not expected to generate a significant impact.
He adds that the US Federal Reserve's recent indication that interest rates are likely to go up by September is also sending a negative sentiment for riskier assets going forward.
The shilling marginally weakened on account of uptick in interbank demand on Tuesday as most corporates remained out of the market due to end month tax obligations.
The shilling was quoted at 3,370/3,380, selling and buying, respectively.