Nigeria’s naira appreciated further against the US dollar on Tuesday, supported by improved dollar liquidity and renewed investor confidence in the foreign exchange (FX) market.
Official figures from the Central Bank of Nigeria (CBN) revealed that the local currency gained 67 basis points, closing at ₦1,448.2050/$, compared to the previous day’s level. During the trading session, the naira fluctuated between ₦1,445/$ and ₦1,456/$, before settling at ₦1,448/$.
Analysts attribute the currency’s steady recovery to a stronger inflow of foreign exchange, as well as the government’s recent fiscal and monetary adjustments aimed at stabilizing the FX market.
Nigeria’s external reserves also remained stable at $42.87 billion, signaling improved resilience in the country’s foreign assets. Meanwhile, the federal government is preparing to access additional foreign loans to bolster its fiscal buffers and sustain liquidity.
Commodities Market Update
In the commodities market, oil prices continued their downward trend for a third consecutive session as investors reacted to reports of potential new US sanctions on Russian oil producers and a possible OPEC+ production hike.
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Brent crude declined by $0.54, settling at $64.36 per barrel.
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West Texas Intermediate (WTI) fell by $1.23 to $60.08 per barrel.
Gold prices also dropped to a three-week low as optimism around US-China trade talks weakened demand for the safe-haven metal.
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Spot gold declined 1.09% to $3,954.91 per ounce.
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US gold futures slipped 1.06% to $3,970.24 per ounce.
Financial analysts at AIICO Capital noted that market sentiment remains mixed. “Oil prices are under pressure due to oversupply risks, while gold could experience a mild rebound if expectations for US interest rate cuts strengthen,” the firm stated.
As Nigeria’s FX reforms continue to stabilize, experts believe consistent dollar inflows and policy clarity will be key to sustaining the naira’s current upward trajectory.
