Naira Appreciates to N1484, Sees Stronger Intraday FX Quote
The naira appreciated to N1484 at the Nigerian foreign exchange market (NFEM) after the spot rate broke psychological barrier at the beginning of the week.
The local currency traded stronger at N1479 per dollar during intraday session before it eventually closed at N1485, according to FX update released by the Central Bank of Nigeria (CBN).
The sustain exchange rate claw back at the official FX window has started to increased bullish predictions, couple with rising external reserves balance.
The naira rally has been supported by broader pressures on U.S dollar index across the foreign exchange markets, spurred by policies uncertainties and weak economic data in US.
According to data from the CBN, the nation’s gross external reserves inched higher to $41.844 billion this week, following successive fx inflows across sources, from $41.698 billion on Friday.
Market analysts said sustained decline in headline inflation was boosted by the naira stability.
Elsewhere, prices of crude oil increase as Ukraine –Russia war has started to fuel fresh rally in the global commodity market.
Light crude oil futures jumped on Tuesday after breaking through the 200-day moving average at $63.32, a key technical barrier that now serves as support. The move triggered a fresh wave of buying, lifting prices above last week’s high of $64.08.
WTI is currently testing resistance at the 50-day moving average of $64.25. A clean break above this level would reinforce bullish momentum, setting the stage for a run at the long-term pivot at $64.56. Above that, upside targets include $65.41 and the September 2 main top at $66.03. Transcorp Power Surges by 10% on Huge Trading Volume
Naira Appreciates to N1484, Sees Stronger Intraday FX Quote
