Silver Trading Co Ltd is a business in Nairobi, Kenya. It specializes in Brokers business activities. Their website has information about their working hours, categories, photos, and phone number. Customers can leave a review or ask a question to get a better idea about their services. You can also follow them on social media to get more updates.
Trade caravans
Before the arrival of traders from the East Coast, trade caravans in Kenya were used by the Kamba people to move the goods from the coast to the interior. The Kamba people were long-distance traders in Kenya and they also practiced trekking. After the Bantu migration was over in the 13th century, different peoples and cultures came to the coast of East Africa. These travelers were mostly of Arabian descent. These traders arranged caravans to the coast to sell their goods.
Traders from the East Coast began exploring the interior of East Africa in 1811, traveling around Lake Tanganyika and the southern plateau. In 1831, they set up a base at Ujiji. They later encountered a large, powerful state in Buganda. Traders from the Zanzibar coast soon followed, making Tabora their upcountry base.
Market volatility
Silver futures and options are used by investors as a safe haven against financial uncertainty. These instruments help investors reduce risk by using the benefits of financial risk management tools. Kenya’s silver market is volatile, and investors should avoid making investment decisions until they understand the underlying factors. This article will discuss some of these factors.
The effects of Ebola on the market are a prime example of this phenomenon. In their recent study, Ichev and Marinc (2018a) examined the impact of the outbreak on stocks in West Africa and the U.S.
Methods of trading
The government of Kenya has relaxed its foreign exchange restrictions since 1993, when the country moved from a fully-controlled exchange rate system to a market-determined one. As a result, the country now has no restrictions on the conversion or transfer of funds, although there are some restrictions on investments by Kenyan citizens outside the country. These include the need for approval by the Central Bank for investments of more than $500,000 in foreign currency.
During the pre-colonial period, trade took place among various communities. These communities traded goods, such as livestock, grain, and cotton cloth, for goods they could not produce themselves. By contrast, Swahili Arab traders brought manufactured goods and jewelry. This kind of trade occurred as a result of the comparative advantage between various communities.
Impact of geopolitical events on silver prices
Economic sanctions are a common response to geopolitical events. Although these are less destructive than war, they can have a profound impact on markets outside of the country where they are imposed. Economic sanctions often hit key commodity exporters, forcing the price of those commodities to rise as the supply decreases.
The price of silver fluctuates based on a variety of factors. Its demand is relatively constant, and supply is limited. However, it is important to note that a change in one of these factors can cause a sharp drop in price. Short-term events such as strike interruptions or the announcement of new uses of silver can increase prices in the short term. Nevertheless, investors should continue to monitor the market for a longer time horizon and buy at bargain prices. Regardless of the market’s volatility, the value of silver is expected to rise substantially in the years ahead.
As a safe haven investment, silver retains its purchasing power far better than paper currency. Its price is depreciated in a weaker economy, but it can remain resilient if a country’s economy is healthy. However, in a weak economy, people tend to defer purchases of items containing precious metals, like jewelry. A healthy economy can lead to a higher demand for silver in the jewelry industry and industrial applications.
Risks of trading silver
Kenya is a small country with a large Silver market, but there are several risks to trading silver there. First of all, there is no cash flow from silver, unlike stocks, which can be cheap based on future earnings and future prospects. In order to make any money from trading silver, you need to rely on someone else to pay more for it. In contrast, businesses can profit from rising prices of other commodities and from increases in their earnings.
Another risk is overpaying for physical silver. Even if you sell your physical silver, you may not be able to receive your full value, especially if you need the money fast. It can also be stolen, so it is important to protect it from theft. Moreover, you should consider getting insurance on your silver.