The kwacha has started October on a strong footing, breaching the K13 psychological barrier at some point in Tuesday’s trading.
“The local unit started October on a bullish note. The kwacha’s appreciation is owing to dollar conversations as the tax deadline draws closer,” FNB Zambia stated in today’s market update. “At its peak, the kwacha reached K12.97/K13.02 – these levels seemed to have ignited some jitters among importers, leading to a slight uptick in dollar demand. Markets eventually closed at 13.00/13.05.”
The market experts see a much stronger kwacha in the short term.
“Our view is that this bullish trend will continue in today’s trading – a break of 13.00 is possible. The rand, like the dollar, continues to depreciate against the kwacha. We could see market trading below 0.858 today,” stated FNB.
The post Kwacha Steps Into October On Strong Footing appeared first on Zambia Reports.