Naira Settles at N1,421 Per U.S. Dollar as FX Pressures Ease
The naira settled at N1,421 per dollar at the Nigerian foreign exchange market on Friday as FX pressures eased slightly amidst growing international payments.
The official rate peaked at an intraday high of N1,423.5000, according to data released by the Central Bank of Nigeria, suggesting fresh market intervention saved the day.
FX data movements over the week revealed that the official spot fx rate weakened by about N4 week on week due to a slowdown in FX inflows.
The market anticipates that the local currency will remain stable at the official window as gross external reserves accretion enhanced ability of the CBN to redirect exchange rate.
Daily FX update released today showed that the naira appreciated by 0.03% to ₦1,421.63/$ at the Nigerian foreign exchange market on Friday close.
The local currency exchange rate also gained 0.06% to ₦1,475/$ in the parallel market, reflecting improved currency sentiment across both the regulated official segment and the informal foreign exchange market.
Reflecting pressures in the global commodity market, oil prices rose to their highest in more than a week on Friday after U.S. President Donald Trump ratcheted up pressure against Iran.
The market saw more sanctions on vessels that transport Iranian crude oil, a development that fueled uncertainties in the global commodity market on Friday.
Today, Brent crude futures rose $1.93, or 3%, to $65.99 a barrel. U.S. West Texas Intermediate crude was up $1.80, or also 3%, at $61.16. Debt Office to Auction N900 Billion Reopened FGN Bonds
