Uganda Shilling holds firm amid balanced market forces

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Balanced demand and supply saw the Uganda shilling trade stable on Monday, closing the session at 3580/3590 levels.

Traders said commodity exports have continued to support the local unit amidst marginal dollar demand from the energy and manufacturing sectors.

Money markets were liquid according to Absa data, with overnight and one-week trades averaging at 9.44% and 9.70%, respectively. Activity in the secondary market with no strong conviction was seen on either side of the market.

In the debt market, the Bank of Uganda will conduct a treasury bill auction on Wednesday (July 16) worth sh355b.

In the global markets, the U.S. dollar edged higher Monday, and the euro retreated, after U.S. President Donald Trump threatened to impose a 30% tariff on imports from the European Union, although movements have been fairly muted.

In the crypto space, Bitcoin continued its rapid climb and hit another all-time high of $123,218 as US lawmakers begin a week focused on passing pro-crypto legislation.