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Euro Outlook Clears as Funds Turn Bullish First Time in 3 Years

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  • Euro Outlook Clears as Funds Turn Bullish First Time in 3 Years

With political risks in the euro area receding, investors are becoming more confident in buying Europe’s shared currency.

CFTC data showed last week that leveraged funds increased their euro positions to “net long” in the week ended June 13 for the first time in more than three years. The euro is the top-performing Group-of-10 currency versus the dollar this year, climbing more than 6 percent and set for its biggest annual increase since 2007.

J.P. Morgan Asset Management has increased its exposure to the euro and European equity markets in the past few months, while Western Asset Global Mgmt Ltd., which has been underweight the shared currency since 2011, began buying it in December and boosted its position through April. Robeco Groep NV, which oversees 150 billion euros ($168 billion) of assets, said last week it opened a new long position in the shared currency versus the pound.

Emmanuel Macron’s victory in French parliamentary elections, an agreement between Greece and its creditors to release new loans and the defeat of the anti-establishment party Five Star Movement in the local vote in Italy are making investors more confident on the outlook for the shared currency. That compares with earlier in the year, when concerns over the rise of populism across Europe rekindled speculation of a possible breakup of the currency bloc.

“Political risks have reduced in Europe,” said Vincent Juvyns, global market strategist at J.P. Morgan Asset Management, which oversees $1.8 trillion globally. The fund prefers to express its bullish view on euro against the yen. “We had a neutral position on euro and an underweight position on European equity markets at the start of the year which we have been gradually upgrading to overweight over the last couple of months.”

The euro was at $1.1181 as of 1:50 p.m. London time. It climbed to $1.1296 on June 14, its highest level since Nov. 9.

Bullish Views

“The positioning on euro has improved significantly,” Jeroen Blokland, a money manager at Robeco Investment Solutions in Rotterdam, said last week in an interview. He said he is bullish on the euro versus the pound, while keeping a neutral stance for now against the dollar.

“There was a huge election uncertainty premium in the euro,” Andrew Cormack, a London-based money manager at Western Asset Global Mgmt Ltd, which oversees about $433 billion, said in an interview on June 15. “The long-term fair value for euro is higher than where we are at the moment.” He sees fair value for the shared currency between $1.20 and $1.30.

UBS Wealth Management has recently upgraded its euro forecasts as the political risk diminished in the euro region, while Goldman Sachs Group Inc., which abandoned its call for the euro’s parity against the dollar, forecast $1.05 as the “low point” for the pair.

The Swiss bank is more sanguine on its trajectory, expecting the pair to hit $1.14 in three months and $1.16 in a six-month period, while Goldman expects the euro to hit $1.10 at the end of 2018. “The political sky is clearing over Europe,” Thomas Flury, head of currency research at UBS WM, said in a note to clients on June 15.

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 18th June 2024

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of June 18th, 2024 stood at 1 USD to ₦1,480.

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New Naira notes

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of June 18th, 2024 stood at 1 USD to ₦1,480.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,510 and sold it at ₦1,500 on Monday, June 17th, 2024.

This indicates an improvement in the Naira exchange rate value when compared to today’s 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: ₦1,480
  • Selling Rate: ₦1,470

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.

Continue Reading

Naira

Black Market Dollar to Naira Exchange Rate Today 17th June 2024

Published

on

New Naira notes

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of June 17th, 2024 stood at 1 USD to ₦1,510.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,490 and sold it at ₦1,480 on Thursday, June 13th, 2024.

This indicates a decline in the Naira exchange rate value when compared to today’s 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: ₦1,510
  • Selling Rate: ₦1,500

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.

Continue Reading

Naira

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

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of June 13th, 2024 stood at 1 USD to ₦1,490.

Published

on

NAIRA - Investors King

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of June 13th, 2024 stood at 1 USD to ₦1,490.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,480 and sold it at ₦1,470 on Wednesday, June 12th, 2024.

This indicates a slight decline in the Naira exchange rate value when compared to today’s 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: ₦1,490
  • 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.

Continue Reading
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