Oil Prices Fall as Gold Prices Rise in Final Week of July

Global oil prices declined while gold prices increased during the week ending July 30, 2026, according to the Central Bank of Kenya (CBK).

In its weekly report published on July 31, the CBK said commodity prices recorded mixed movements during the week under review.

Murban crude oil prices fell to $78.24 (Ksh 10,111.73) per barrel on July 30, 2026, from $86.05 (Ksh 11,121.10) per barrel on July 23.

The CBK attributed the decline in oil prices to the reopening of the Strait of Hormuz, which eased concerns over disruptions to global oil supplies.

The Bank also linked the decline to expectations of ample oil supplies following an increase in production by OPEC+.

“Murban crude oil prices declined to USD 78.24 per barrel on July 30, 2026, from USD 86.05 per barrel on July 23, mainly due to recovery of oil exports through the Strait of Hormuz, and increased OPEC+ production that raised expectations of ample global crude supply,” CBK said.

On the other hand, gold prices increased from $4,047.15 (Ksh 523,053.67) on July 23rd to $4,102.40 (Ksh 530,194.18) on the 30th.

“Spot gold prices increased to USD 4,102.40 per ounce from USD 4,047.15 per ounce, over the same period,” CBK added.

CBK Inflation Rates

Overall inflation rose marginally to 6.5 percent in July from 6.4 percent in June 2026.

Core inflation increased to 3.2 percent from 3.1 percent, driven by higher transport costs and prices of processed foods, particularly wheat and cooking oil.

However, non-core inflation declined to 15.0 percent in July from 15.1 percent in June 2026.

Exchange Rates

The Kenya Shilling remained stable against major international and regional currencies during the week ending July 30, 2026.

It exchanged at Ksh 129.40 per U.S. dollar on July 30, compared to Ksh 129.53 on July 23.

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Foreign Exchange Reserves

The foreign exchange reserves remained adequate at USD 15,400 million (6.4 months of import cover) as of July 30.

This meets CBK’s statutory requirement to endeavour to maintain at least 4 months of import cover.

Money Market

The money market remained liquid during the week ending July 30, 2026, with open market operations remaining active.

Commercial banks’ excess reserves averaged Ksh 13.5 billion above the 3.25 percent Cash Reserve Ratio (CRR) requirement.

The Kenya Shilling Overnight Interbank Average Rate (KESONIA) remained unchanged at 8.75 percent on July 30, the same level recorded on July 23.

During the week, the average number of interbank transactions increased to 17 from 6 in the previous week, while the average value traded increased to Ksh 12.0 billion from Ksh 3.7 billion in the previous week.

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Government Securities Market

The Treasury bill auction of July 30, received bids totalling Ksh 27.4 billion against an advertised amount of Ksh 28.0 billion, representing a performance of 97.7 percent.

The Interest rate on the 91-day Treasury bill increased marginally.

However, the interest rate of the 364-day Treasury bill declined.

At the Nairobi Securities Exchange, the NASI, NSE 25 and NSE 20 share price indices increased by 1.70 percent, 1.44 percent and 1.97 percent, respectively, during the week ending July 30, 2026.

Market capitalization also increased by 1.70 percent while total shares traded and equity turnover decreased by 19.45 percent and 17.66 percent, respectively.

Bond Market

Bond turnover in the domestic secondary market increased by 38.20 percent during the week ending July 30, 2026.

In the international market, yields on Kenya’s Eurobonds decreased by 2.74 basis points on average.

However, yields for Côte d’Ivoire and Angola increased.

Global Trends

Major central banks maintained a cautious monetary policy stance during the week, with the Federal Reserve, Bank of England, and the Bank of Japan retaining their policy rates amid elevated global uncertainties.

The U.S. economy remained resilient, expanding at an annualized rate of 1.5 percent in the second quarter of 2026.

The euro area annual growth improved to 1.0 percent in the second quarter. The U.S. Dollar Index weakened by 1.6 percent during the week.