Kenya shilling stable versus dlr, seen in range
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Kenya shilling stable versus dlr, seen in range UPDATED 16 Jul 2009 | 08:33  
Kenya shilling stable versus dlr, seen in range

NAIROBI (Reuters) - Kenyan shilling trade against the dollar slowed on Thursday and traders forecast the local unit would be stuck in a range for days to come.

At 0750 GMT, commercial banks posted the unit at 77.10/20 against the dollar compared with 77.30/40 at the open.

Traders expect the unit to remain range-bound between 76.50/77.50.

"There is no movement now. Most new activity is at the end of the month," said Standard Chartered Bank's currency dealer Benson Kaburu.

He expects the shilling to remain in a 77.10-77.40 band for the rest of the day.

Kenya Commercial Bank senior dealer Chris Muiga said there was not much going on with the shilling.

"The flows on either side are pretty well matched and there's nothing to give the market impetus on either side," he said. "We are waiting and watching for direction."

Bank of Africa Deputy Head of Treasurey Kennedy Butiko said while there had been good inflows on Wednesday from the tea export sector, he still expected the shilling to weaken through the next week or two.

"In the short term we should see it between 77.00/77.50," he said.

A daily market report by the Commercial Bank of Africa said the market was still nervous about possible political instability after the mediator in Kenya's post-election violence handed over names of top-ranking officials to the International Criminal Court for possible prosecutions for the fighting.

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