BUUMBA CHIMBULU writes
@SunZambian
THE Kwacha has stabilized against the dollar despite subdued market activity from buyers and importers coupled with tight liquidity in the money markets.
The financial market as of Monday’s trading session saw the USD/ZMW currency pair begun the day trading at K13.0750 / K13.0125 on the interbank bid and offer respectively with little activity seen.
Cavmont Bank Zambia said in its daily market report that the local unit seems to have stabilized around this trading level following stability in demand and supply.
The bank said the currency pair stabilised despite subdued market activity from buyers and importers coupled with tight liquidity in the money markets.
“Current trends seem to indicate market activity is likely to continue trading within current levels, with movements being expected on either side depending on demand and supply factors,” said the bank.
And the Zambia Industrial Commercial bank said the Kwacha on Monday which opened at 13.060/13.110 maintained its recent performance against the greenback to trade within a tight range.
The bank said the currency pair had not made any significant movements since mid-August and current trends suggest that market players are sitting on the fence looking for more favourable levels.
“The local currency closed at 13.070/13.120, generally unchanged from its opening levels of 13.060/13.110. Market liquidity is currently at K499.48 million, compared to K 680.49 illion the previous day,” said the bank.
