KWACHA STEADIES

The Kwacha traded

steadily with in ows comin from the corporates as they loo ed to settle their month end obli ations, Absa an ambia has said.

According to the Absa Bank daily report, these were evenly matched by demand from the energy sector.

Commercial banks in Lusaka quoted the Kwacha at k14.70/14.75 per dollar on the bid and offer respectively.

“In the near term the local currency is anticipated to trade in a tight band,” the Absa report said.

The report said the volumes of funds traded on the interbank reduced moving from K365.00 million to K296 million while the liquidity levels in the market improved moving from K569.94 million to K909.93 million.

“The overnight interbank rate was down to 12.50 percent from 12.52 percent. Local markets activity was In the near term the local currency is anticipated to trade in a

ti ht band. Absa report subdued with yields remaining unchanged,” the report said.

Crude oil prices inched higher yesterday as investors covered short positions after three sessions of losses and eyed potential supply cuts, even as fears of a coronavirus pandemic deepened.

“Brent crude rose 33 cents, or 0.6 percent to $55.28 a barrel while US West Texas intermediate crude gained 41 cents, or 0.8 percent to $50.31 a barrel. Still, prices are down nearly 7 percent since last Thursday’s close,” the report said.

Meanwhile, edged higher on Wednesday after a sharp drop in the previous session, as investors sought safe haven assets following a warning from the United States over the potential domestic spread of the coronavirus.

“Spot gold was up 0.3 percent at $1,639.74 per ounce, having slumped as much as 1.9 percent in the previous session. On Monday, prices touched $1,688.66, their highest in more than seven years,” the report said. Copper prices edged into the red as investors struggled to calculate whether any coronavirus-related loss of metals demand would outweigh weaker output.

Absa Bank report said worries about the virus spreading outside of China had pushed London Metal Exchange (LME) copper to a two-week low while zinc slid to its weakest since June 2016.

“Three-month LME copper dipped 0.1 percent to $5,685 a tonne in final open outcry trading,” the report said.

T implementation of the Tripartite ree Trade A reement T TA is now in si ht followin a spi e in the number of countries ratifyin and set to ratify the a reement.