Forex

Dollar, Stocks Little Changed on Mixed Fed Signal

Published

7 years ago

February 2, 2017

Dollar, Stocks Little Changed on Mixed Fed Signal

The latest Federal Reserve policy statement did little to alter market views on the timing for further interest-rate hikes, leaving assets from the dollar to Treasuries and stocks little changed on the day.

The S&P 500 Index eked out a gain to halt a four-day slide, while a Apple Inc.’s best day since July boosted technology-heavy indexes. The Bloomberg Dollar Spot Index pared its advance after Fed officials gave little direction on when it might next raise rates. The yield on 10-year Treasury notes held just under 2.50 percent. The British pound added to gains after the House of Commons voted to allow the prime minister to start divorce talks with the European Union.

The Fed acknowledged rising confidence among consumers and business and reiterated their intention to lift rates gradually as the labor market tightens. The central bank left its options open before Friday’s jobs report delivers the latest reading on labor-market strength and as they grapple with the uncertainty created by a new presidential administration. Members differ over assumptions regarding the extent to which policies proposed by President Donald Trump might boost inflation.

U.K. Prime Minister Theresa May faces a battle with pro-European lawmakers in her Conservative Party after they grudgingly backed her plan to trigger Brexit negotiations by the end of March in its first test in Parliament.

Here are Wednesday’s major market moves:

Stocks

The S&P 500 rose less than one point to close at 2,279.42. That was good enough to halt a four-day slide that was the longest since the November election.
The Dow Jones Industrial Average advanced 24.86 points to end a three-day slump. The index is down 1.1 percent from a record set Jan. 26.
Apple Inc. surged 6.1 percent after earnings topped estimates. It was the biggest rally since July and left the stock at its highest level since July 2015.
The Stoxx Europe 600 Index climbed 0.9 percent to stop a losing streak.

Currencies

The Bloomberg Dollar Spot Index strengthened 0.1 percent, paring a gain that reached 0.4 percent after data from the ADP Research Institute showed private payrolls climbed by 246,000, compared with the 168,000 median projection of analysts surveyed by Bloomberg.
The euro fell 0.2 percent to $1.0778, while the yen traded for 113.06 per dollar.

Bonds

The yield on the 10-year U.S. Treasury note added four basis points to 2.49 percent. It fell four basis points on Tuesday.
The U.S. yield curve steepened Wednesday in the minutes after the Federal Reserve left its benchmark lending rate unchanged.
The difference between two-year yields and those on 30-year bonds widened to about 186 basis points, from about 182 basis points before the announcement, as shorter-maturity Treasuries pared losses.
Verizon Communications Inc. swapped less than a third of the $29 billion it originally sought to exchange in a transaction designed to refinance bonds maturing in the next five years.

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Samed Olukoya

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Naira

Black Market Dollar to Naira Exchange Rate Today 14th May 2024

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of May 14th, 2024 stood at 1 USD to ₦1,520.

Published

20 hours ago

May 14, 2024

Samed Olukoya

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of May 14th, 2024 stood at 1 USD to ₦1,520.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,500 and sold it at ₦1,480 on Monday, May 13th, 2024.

This indicates a decline in the Naira exchange rate compared to the current rate.

The black market rate plays a crucial role for investors and participants, offering a real-time reflection of currency dynamics outside official or regulated exchange channels.

Monitoring these rates provides insights into the immediate value of the Naira against the dollar, guiding decision-making processes for individuals and businesses alike.

It’s important to note that while the black market offers valuable insights, the Central Bank of Nigeria (CBN) does not officially recognize its existence.

The CBN advises individuals engaging in forex transactions to utilize official banking channels, emphasizing the importance of compliance with regulatory frameworks.

How much is dollar to naira today in the black market

For those navigating the currency exchange landscape, here are the latest figures for the black market exchange rate:

Buying Rate: ₦1,500
Selling Rate: ₦1,480

As economic conditions continue to evolve, staying informed about currency exchange rates empowers individuals to make informed financial decisions. While the black market provides immediate insights, adherence to regulatory guidelines ensures stability and transparency in forex transactions.

Naira

Black Market Dollar to Naira Exchange Rate Today 13th May 2024

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of May 13th, 2024 stood at 1 USD to ₦1,500.

Published

2 days ago

May 13, 2024

Samed Olukoya

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of May 13th, 2024 stood at 1 USD to ₦1,500.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,470 and sold it at ₦1,460 on Friday, May 10th, 2024.

This indicates a decline in the Naira exchange rate compared to the current rate.

The black market rate plays a crucial role for investors and participants, offering a real-time reflection of currency dynamics outside official or regulated exchange channels.

Monitoring these rates provides insights into the immediate value of the Naira against the dollar, guiding decision-making processes for individuals and businesses alike.

It’s important to note that while the black market offers valuable insights, the Central Bank of Nigeria (CBN) does not officially recognize its existence.

The CBN advises individuals engaging in forex transactions to utilize official banking channels, emphasizing the importance of compliance with regulatory frameworks.

How much is dollar to naira today in the black market

For those navigating the currency exchange landscape, here are the latest figures for the black market exchange rate:

Buying Rate: ₦1,500
Selling Rate: ₦1,480

Forex

Zimbabwe Implements Strict Rules: $14,782 Fine for Violating Official Exchange Rate

Published

5 days ago

May 10, 2024

Samed Olukoya

Zimbabwe, in a bid to stabilize its currency and clamp down on black-market trading, has introduced stringent regulations to penalize individuals and companies found violating the official exchange rate of its new currency, the ZiG.

Under the new rules announced by Finance Minister Mthuli Ncube, offenders will face a hefty fine of 200,000 ZiG or $14,782.

The move comes as the government seeks to enforce the sole use of the official exchange rate, which is determined daily by the Reserve Bank of Zimbabwe.

The decision to impose such a significant penalty underscores the seriousness with which Zimbabwean authorities are approaching the issue of currency stability.

By cracking down on those who flout the official exchange rate, the government aims to curb the proliferation of parallel markets and ensure the orderly functioning of the economy.

Previously, retailers were required to price their goods within 10% of the official exchange rate to prevent excessive profiteering.

However, this regulation has now been scrapped as it was deemed ineffective in curbing informal trading and maintaining the value of the currency.

The ZiG, introduced on April 5 as a successor to the Zimbabwean dollar, represents the country’s sixth attempt to establish a stable local currency.

Backed by 2.5 tons of gold and approximately $100 million in foreign currency reserves held by the central bank, the ZiG is intended to restore confidence in the nation’s monetary system.

Despite these efforts, the ZiG has faced challenges since its launch, including fluctuations in its value against major currencies.

Trading at 13.53 to the dollar as of Thursday, the currency experienced a record low of 13.67 to the dollar earlier in the week, highlighting the volatility inherent in Zimbabwe’s currency market.

The introduction of strict penalties for violating the official exchange rate reflects Zimbabwe’s determination to maintain control over its currency and stabilize its economy.

However, it remains to be seen how effective these measures will be in addressing the underlying issues contributing to currency instability and informal trading in the country.