Forex

Markets Update: Oil Extends Slump as Euro Gains Before ECB Meet

Published

7 years ago

March 9, 2017

Oil Extends Slump as Euro Gains Before ECB Meet

Crude’s selloff deepened, with prices slumping a fourth day amid a broad commodities retreat that dragged down European stocks. Bonds moved higher, while the euro strengthened with the dollar as investors prepare for key central bank meetings.

Oil couldn’t sustain an early bounce after data showing U.S. inventories at a record battered prices Wednesday. West Texas Intermediate dropped below $50 per barrel as metals also fell. Commodity producers dragged European stocks lower, while the euro rose before Thursday’s European Central Bank meeting, where no change in monetary policy is expected. The Bloomberg Dollar Spot Index is headed for its best back-to-back weeks since December on bets the Fed will raise borrowing costs next week.

The falling commodity prices may provide timely support for the message from the ECB and President Mario Draghi, who are expected to reiterate that monthly bond purchases will run until at least December. While euro-area inflation is currently at 2 percent for the first time in four years, price growth has been largely driven by energy rather than core goods and services, and high unemployment shows the economy still has slack.

“Until wages and service prices pick up the ECB will remain cautious,” said Semin Soher, senior portfolio manager at Pioneer Investments in Dublin. “They’re likely to look through February inflation as fleeting rather than durable” because of transitory energy prices, she said.

What’s ahead for the markets:

Mario Draghi is expected to keep QE going until the end of the year with underlying price pressures muted. The ECB’s policy decision will be announced at 1:45 p.m. Frankfurt time and Draghi will hold a press conference 45 minutes later.
Official U.S. jobs data for February are due Friday. Employers probably added around 200,000 workers to payrolls, in line with the average over the past six months and a sign of steady job growth, economists forecast.

Here are the main moves in markets:

Commodities

WTI crude dropped 2 percent to $49.30 a barrel as of 7:11 a.m. in New York. It tumbled more than 5 percent the previous session to the lowest close since Dec. 7.
Gold fell 0.3 percent to $1,204.99 an ounce, declining for a fourth day as metals sold off across the board.

Stocks

The Stoxx Europe 600 Index retreated 0.3 percent, with energy companies and miners posting the biggest declines.
Futures on the S&P 500 fell 0.1 percent after the benchmark index lost 0.2 percent on Wednesday.

Currencies

The Bloomberg Dollar Spot Index rose 0.1 percent after gaining 0.4 percent Wednesday.
The British pound fell 0.1 percent as the euro added 0.2 percent.

Bonds

Yields on 10-year U.S. Treasuries traded fractionally higher at 2.569 percent after adding 25 basis points over the past eight days.
German bonds were choppy ahead of the ECB meeting, with the 10-year yield rising two basis points. Most other European government bonds advanced, with the yield on 10-year Italian and Spanish bonds each dropping three basis points.

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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 17th May 2024

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of May 17th, 2024 stood at 1 USD to ₦1,540.

Published

1 day ago

May 17, 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 17th, 2024 stood at 1 USD to ₦1,540.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,560 and sold it at ₦1,550 on Thursday, May 16th, 2024.

This indicates a slight improvement in the Naira exchange rate 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: ₦1,540
Selling Rate: ₦1,530

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.

Forex

SEC and ABCON Explore Collaboration for ‘Kolectyomoni’ Digital Currency Platform

Published

2 days ago

May 17, 2024

Samed Olukoya

The Association of Bureaux De Change Operators of Nigeria (ABCON) has initiated talks with the Securities and Exchange Commission (SEC) to explore collaboration on its upcoming digital currency market platform, ‘Kolectyomoni’.

This move was underscored during an official visit by ABCON representatives to the newly appointed Director General of the SEC, Dr. Timi Agama. Aminu Gwadabe, President of ABCON, conveyed the association’s eagerness to engage with SEC to ensure the smooth operation of its digital currency platform.

Gwadabe emphasized that ABCON recognizes the regulatory oversight of SEC in the financial sector and seeks its guidance to navigate the complexities of the digital currency market.

He pointed out that while digital currencies hold immense potential for financial inclusion and innovation, they also present regulatory challenges that require collaborative efforts between industry stakeholders and regulatory bodies.

Highlighting the significance of embracing digital currencies, Gwadabe noted, “The future of BDC’s business is digital currency.”

He stressed the growing adoption of digital currencies among Nigerians, citing statistics that reveal a rising number of participants in the digital currency ecosystem, with a substantial market size of $9 billion annually.

In response, Dr. Timi Agama expressed SEC’s openness to support and facilitate the growth of the digital currency sector in Nigeria.

He acknowledged ABCON’s initiative in launching the ‘Kolectyomoni’ platform and assured of SEC’s cooperation in providing regulatory guidance and oversight.

Agama reaffirmed SEC’s commitment to fostering innovation in the financial sector while ensuring investor protection and market integrity.

He underscored the importance of collaboration between regulators and industry players to develop robust frameworks that foster innovation and safeguard against potential risks.

Furthermore, Agama encouraged ABCON to finalize the development of the ‘Kolectyomoni’ digital currency platform and submit it to the SEC for thorough review and assessment by the technical team.

He emphasized the need for timely regulatory oversight to address emerging trends in the digital currency market and maintain regulatory compliance.

Naira

Black Market Dollar to Naira Exchange Rate Today 16th May 2024

The black market, also known as the parallel market or Aboki fx, US dollar to Nigerian Naira exchange rate as of May 16th, 2024 stood at 1 USD to ₦1,560.

Published

3 days ago

May 16, 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 16th, 2024 stood at 1 USD to ₦1,560.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,530 and sold it at ₦1,520 on Wednesday, May 15th, 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.