The tide continued to turn in the Uganda Shilling’s favour during Friday’s trading session as a result of increased foreign currency inflows from commodity exporters.
Markets

Uganda Shilling ends day unchanged against US counterpart

The shilling traded sideways against its American counterpart, though ending the day unchanged from previous close.

Lack of economic news left most of the players’ side lined with price action for the USD/UGX pair guided mostly by flows.

Corporate dollar demand remained well matched by foreign currency inflows from various sectors of the economy throughout the day leaving the home unit little changed.

In the new day, we see the local currency trading within the 3660-3680 ranges in the absence of fresh market factors.

Dollar goes steady against peers on Monday

The dollar was steady against its peers on Monday, lacking strong direction as U.S. markets were shut for a holiday, while the euro’s latest bounce faded as the focus drifted back to the economy and European Central Bank policy.

The euro was down at $1.1298. It edged up 0.16 percent overnight, pulling away from a three-month low of $1.1234. The single currency had been buoyed by improved investor sentiment as expectations increased for an easing of the U.S.-China trade conflict after both sides reported progress in talks.

The British Pound witnesses pullback to 1.2900 against the dollar ahead of European sessions today. The pair recently declined to 1.2925 to the day’s low after news revealed that seven politicians quit opposition Labour Party and the UK manufacturers warn of ‘catastrophic’ no-deal Brexit.

Coming up in the Pound traders’ radar will be the December month unemployment rate and average earnings index, coupled with claimant count change for January.