Naira continues to fall in the official market as currency reserves win $ 786 million in one day – Nairametrics
Tuesday, October 5th, 2021: The exchange rate between the naira and the US dollar closed at N414.3 / $ 1 in the Investors and Exporters Window, where forex is officially traded.
Naira continued to depreciate against the US dollar on Tuesday, closing at N414.3 / $ 1, a 0.18% decrease from N413.55 / $ 1 on Monday October 4, 2021.
Meanwhile, the parallel market exchange rate rose 0.35% and closed on Tuesday at N575 / $ 1 versus N577 / $ 1 the previous week. This is based on information Nairametrics received from BDC operators in Lagos.
The crude oil market expanded its gains as Brent crude closed Tuesday at $ 82.56 a barrel, while OPEC + decided to hold production quota.
Similarly, Nigeria’s currency reserve hit a record high of $ 785.84 million on Monday, October 4, 2021, closing at $ 37.57 billion, its highest level in 20 months. This is based on data from the Central Bank of Nigeria.
Trade in the official NAFEX window
The exchange rate fell against the US dollar on Tuesday October 5, 2021, closing the day at N414.3 on a dollar, a 0.18% depreciation against N413.55 / $ 1 on Monday October 4 2021.
The opening indicator price closed at N414.03 / $ 1 on Tuesday, a depreciation of 32 Kobo compared to N413.71 / $ 1 on the previous trading day.
An exchange rate of N415.2 to one dollar was the highest rate recorded during intra-day trading before it was fixed at N414.3 / $ 1, while during intra-day trading it was only N404 / $ 1 was sold, just like the previous trading day.
Meanwhile, foreign exchange turnover rose 12.2% in the official window on Tuesday, October 5, 2021.
According to data tracked by Nairametrics from the FMDQ, foreign exchange sales rose from $ 108.83 million on Monday to $ 122.15 million on Tuesday, October 5, 2021.
The world’s most popular and capitalized crypto asset crossed the $ 50,000 mark on Tuesday as it currently trades at $ 51,568.63 on Wednesday at 6:02 a.m., suggesting rising investor sentiment towards the strongly in demand crypto-asset.
The new price point suggests a near rebound in all losses in September, when Bitcoin fell from a high of $ 52,850 to $ 39,787, a decline of 24.72%.
Meanwhile, at the time of this writing, the crypto market is down marginally 0.58% to $ 2.22 trillion, a loss of $ 13.31 billion for trade investors, while Ethereum is currently performing at -0 .65% is $ 3,493.33.
Meanwhile, Nigerian traded about $ 32.16 million in Bitcoin in September, down from $ 44 million the previous month. The total trading volume between January and September 2021 was $ 315.76 million.
Crude oil price
Crude oil extended its gains Tuesday, consolidating on bullish trends seen recently, when Brent Crude rose 1.6% to close at $ 82.56 a barrel, compared to $ 81.31 a barrel the previous day .
Similarly, West Texas Intermediate gained 0.22% to close at $ 79.1 a barrel, while Natural Gas closed at $ 6.314 a barrel on Tuesday.
Nigeria’s Bonny Light crude was bullish on Tuesday as its price rose 3.94% and closed at $ 40.73 a barrel on Tuesday, while other Nigerian crudes, Brass River and Qua Iboe, rose 3.32% each and closed at $ 81.13 a barrel.
The upward trend continued after OPEC + decided to maintain its production increases of 400,000 bpd per month. At the meeting, all participating States agreed that sticking to the originally planned course is in the common interest of the group.
Nigeria’s foreign reserves rose $ 785.8 million on Monday, October 4, 2021, to close at $ 37.6 billion, compared to $ 36.78 billion the previous day. The most recent surge represents a 2.1% increase in the country’s currency reserves and the highest daily increase since February 2020.
The reserve won a record $ 2.76 billion in September 2021, while its most recent profit since the start of the year is $ 2.19 billion.
The recent increase in currency reserves, which has occurred since Jan.
Although reserves did not hit $ 40 billion as forecast the previous month, they continue to show positive growth and could exceed the forecast line by the end of the current month if it maintains that course.
With the oversubscription of the 4 billion euro bond procured by the federal government from the international debt market, the reserve should receive more firepower in the coming weeks.
Disclaimer: Nairametrics does not set or determine any foreign exchange rates. The official NAFEX tariffs can be found on the FMDQOTC website. Parallel market prices are obtained from various sources, including online media. The rates you buy or sell forex may differ from those covered in this article.