By KENNEDY MUPESENI –

THE Kwacha yesterday showed some downward movement, on average trading between K6.35 and K6.40.
A check at most of the bureaux and commercial banks in the Lusaka Central Business District indicated just a slight downward movement.
The dollar at Struts Bureau De Change, Freedom Way was yesterday at K6.30 and K6.40, while the previous day was K6.25 and K6.35 for buying and selling respectively.
At Golden Coin Bureau De Change located at Central Park Cairo Road, it was trading at K6.40 and K6.60 as opposed to the previous day’s figures of K6.35 and K6.45 respectively.
Indo Zambia Bank Cairo North-end the Kwacha against the dollar was trading between K 6.30 and K6.48, while UBA Bank was between K6.39 and K6.55.
According to local Money Market Rates by the Zanaco Kwacha opened trading on Tuesday at K6.350/6.370, a ngwee stronger than its previous day’s close against the greenback.
The greenback lagging behind demand and coupled with general dollar strength across international markets, the Kwacha failed to hold on to early gains.
It traded on the back foot throughout the day eventually closing at its intraday low of K6.365/85.
It was down half an ngwee yesterday, the local currency trading is expected to remain the weaker of the two currencies oscillating within a K6.350 and K6.490 range.
Internationally, the prices of gold steadied to near $1,230 an ounce yesterday, clinging to modest gains from the previous session, ahead of the next guidance from the Federal Reserve on whether it will hike US interest rates sooner or keep them lower for longer.
The Fed wraps up its two-day policy meeting later on and was expected to end its bond purchases amid signs of strength in the US economy.
But policymakers will likely reinforce its stated willingness to wait longer before raising interest rates after a volatile month in financial markets.
Keeping US interest rates lower for a longer period bodes well for a non-interest bearing asset such as gold.
Spot gold was up by 0.1 per cent at $1,229.29 an ounce after gaining 0.2 per cent on Tuesday.
US gold futures were unchanged at $1,229.40 an ounce.
Data released on Tuesday gives the US central bank reason to hold off from tightening its monetary policy, with demand for US made capital goods falling the most in eight months in September.
The US housing sector also remained largely soft.