简体中文
繁體中文
English
Pусский
日本語
ภาษาไทย
Tiếng Việt
Bahasa Indonesia
Español
हिन्दी
Filippiiniläinen
Français
Deutsch
Português
Türkçe
한국어
العربية
Abstract:The Nigerian Naira had strengthened massively against the US dollar at the black market after a massive fall, to close on Friday last week exchanging at N680/$1. This marks an over 8.5% increase compared to the previous record of N900/$1 witnessed during the first week of November.
By: Damian Okonkwo
The Nigerian Naira had strengthened massively against the US dollar at the black market after a massive fall to close the week exchanging at N680/$1.
Recall that Naira previously fell to its worst exchange rate ever to exchange at N900/$1 during the first week of November 2022 following the high dollar scarcity and news of an imminent change of the Naira note.
On the contrary, the story changed last Friday with an increased FX supply was witnessed at the market after a rumor circulated that the US Banks will be rejecting any dollar note printed from 2021 downwards which was not returned to the back before the end of 2022. This means holders of this dollars notes could no longer exchange them if the rumor turns out to be true.
This probably triggered a lot of traders who have been hoarding the dollar thereby creating high dollar scarcity in the market to quickly rush to the black market to exchange them.
As a result, there was a high demand for the Naira once again thereby raising its exchange rate against the US dollar at the black market.
To this end, the Naira appreciated by over 8.5% in less than five days to exchange at N680/$1 at the black market after it exchanged earlier at N745/$1 on Thursday and over N900/$1 during the first week of November.
Notwithstanding, the official exchange rate at the Investor and Export (I&E) window closed on Friday at N466.1/$ against the previous record of N445.67/$ recorded the previous day.
Above all, investors are still fearful that the rate might fall again ahead of the Christmas season.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
Online trading platform eToro has recently unveiled its latest investment offering—the Global-Edge Smart Portfolio. This new addition to eToro’s extensive portfolio options provides investors with a balanced approach to investing by combining global stocks and bonds, tailored for those looking for growth and stability.
Webull has announced the launch of a new 24/5 Overnight Trading feature for U.S. users, developed in partnership with Blue Ocean ATS. This feature allows Webull’s clients to trade stocks and ETFs outside traditional market hours, from 8:00 pm to 4:00 am ET, Sunday through Thursday.
Join IronFX’s $500K Grand Trading Slam for a chance to win major cash prizes. Compete in trading challenges and rank up to the grand prize! Start trading today.
Explore RoboForex's trading platforms, account types, regulatory compliance, and features in this comprehensive 2024 review.