The opening of the trading week witnessed the Uganda shilling facing the dollar at the levels of 3803/3813. However, interbank and corporate demand during the Monday session exerted pressure on the shilling, resulting in a weaker closure at the 3810/3820 levels.
Despite the commencement of Absa month-end inflows, the impact was overshadowed by persistent demand. The monetary markets, characterized by liquidity, revealed overnight yields averaging at 10.12%.
In the upcoming financial landscape, the Bank of Uganda has scheduled a treasury bond auction, featuring 2-year and 10-year bonds, on January 24, 2024. This development adds an element of anticipation to the market dynamics, potentially influencing the trajectory of the Uganda shilling against the dollar in the days to come.
