hisah wrote:Scubidu wrote:hisah wrote:karanjakinuthia wrote:The Shilling has accomplished its first target of 98 to the U.S. Dollar despite interventions of the Central Bank of Kenya. This is a clear indication that the influences acting on the Shilling and other East African currencies are international.
With the benefit of hindsight, we can see that most emerging market currencies have been hammered with the emergence of the Greek and wider European debt debacle.
There is the possibility of the Shilling to re-test 82 to the U.S. Dollar, consolidate, then run away to 118 and 160. However, it seems unlikely in the short-term because the U.S. Dollar is strengthening versus major currencies.
Yap, everything EM has taken it in the chin since July slid over...
http://bloom.bg/oeCCSD
I heard traders locally bought the usd being sold on Friday by the Central Bank then pushed the currency higher. isn't that just sad ... intervention is futile. The Central Bank lacks the support from IMF.
@Scubidu - there is a saying in trading pits that says money has no morals. A disorderly regulator will always face a vulture like Mr Market if an opportunity arises. BoJ & SNB have faced a nasty Mr Market enough times since Asia 97 & GFC 2008 crises respectively. IMF has too much to juggle with euroland default looming & a fluffing US econ with equally bogus debt. IMF cant juggle a million pieces, some chips will have to fall down. Well these IMF chaps should have allowed us to get a eurobond years ago before they got us under their programmes. If they want to dictate how things are done in this country then they need to juggle. It's bad policy giving a country funds, but not paying attention to its use.
“We are the middle children of history man, no purpose or place. We have no great war, no great depression. Our great war is a spiritual war, our great depression is our lives!" – Tyler Durden