High international commodities prices and a weakening shilling against the dollar are expected to cushion Kenyan listed agricultural stocks from inflationary pressures and the effects of a biting drought, analysts said.
The rupee steadied on Monday after rising early, tracking the domestic sharemarket and some dollar inflows, but traders expected it to remain range bound during the day.
Palm oil output and stocks, already lagging robust demand due to rains in top Southeast Asia producers, could be made worse should the cooking ingredient become the next target for emerging markets seeking to buy big and dampen adverse effects of booming world food prices.
China may speed up its soybean imports after the Lunar New Year and slow its vegetable oil buys as floods cut off palm oil supply in Malaysia and if port strikes further stall Argentine soyoil exports.
China's central bank, more hawkish on inflation than other parts of the government, has gained more policy-making power in recent months by outmaneuvering pro-growth factions in wrangling over the economic outlook and bank loans.
Kenya's central bank cut its benchmark lending rate on Thursday for the first time since July, in a surprise move seen as a bid to curb rising Treasury bill and bond yields.
The Kenyan shilling ended unchanged on Monday against the dollar but is expected to come under pressure from end-month corporate dollar demand while stocks eased as investors sold off Kenya Power and Lighting.
The Kenyan shilling was barely moved against the dollar on Friday as traders squared positions but they said high oil prices were likely to stoke dollar demand and weigh on the local currency next week.
President Barack Obama urged Chinese President Hu Jintao to let the value of China's yuan currency rise and delivered a strong message on U.S. concerns over Beijing's human rights record at a summit on Wednesday.
President Barack Obama urged Chinese President Hu Jintao to let the value of China's yuan currency rise and delivered a strong message on U.S. concerns over Beijing's human rights record at a summit on Wednesday.
President Barack Obama pressed Chinese President Hu Jintao on Wednesday to let the value of China's currency rise and delivered a stern message on U.S. concerns over Beijing's human rights record.
At least 10 asset managers are preparing to launch yuan-denominated funds in Hong Kong to tap robust overseas demand for yuan assets amid expectations of faster yuan appreciation and broader investment channels, two people with direct knowledge of the matter said.
The Kenyan shilling KES= edged up against the dollar on the back of higher coffee and tea prices at auctions this week, but signs of a drought in the country could limit the currency's gains, traders said on Thursday.
The rupee touched one-and-half-week highs early on Thursday, boosted by overnight losses in the dollar, but soon retreated tracking weak domestic shares, which added to worries of more foreign fund withdrawals.
Ghana's inflation slowed to a new 18-year low of 8.58 percent in December, feeding expectations the West African economic heavyweight will keep its policy interest rate on hold in the short term.
State-owned Bank of China Ltd has offered yuan trading to its U.S. customers, a sign that Beijing this year may increasingly promote the use of the Chinese currency in major financial centers.
Perhaps the surprising good health of Pakistan’s equity market shows how disconnected financial trading markets can be from the state of the society they reside in.
