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Forex

Asian Stocks Gain, Dollar Weakens While Oil Slides

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Asian Stocks
  • Asian Stocks Gain, Dollar Weakens While Oil Slides

Asian equities rose and the dollar weakened at the start of an important week for global monetary policy settings, with central banks in Japan, the U.S. and the U.K. all meeting. Oil slid for a sixth straight day.

Tokyo shares extended the biggest rally in a month while South Korean equities rose to the highest since May 2015. Chinese stocks traded in Hong Kong rallied after officials gave an upbeat picture of the economy. The Australian dollar led gains against the U.S. currency, which fell against most major peers. Oil kept sliding below $50 as U.S. drillers continued to boost activity, countering OPEC’s efforts to drain a global glut.

Global equities are trading near a record high as indications of firming growth in the U.S. and Europe coincide with China’s economy showing signs of improvement in the first two months of 2017. U.S. jobs data at the end of last week cleared the way for the Fed to raise interest rates on Wednesday without forcing it to accelerate the pace for future tightening. The euro built on gains from Friday, when European Central Bank policy makers were said to have considered their ability to raise rates before a bond-buying program comes to an end.

“There’s some initial upside from the jobs report but most people are waiting and watching to see what the central banks say later in the week,” said Andrew Sullivan, managing director for sales trading at Haitong International Securities Group Ltd. in Hong Kong.

What’s on traders’ watch lists this week: 

  • The Bank of Japan’s policy decision is due on Thursday. The BOJ is set to keep its rates and yield-curve policy unchanged. Still, recovering capital outlays and signs that consumer prices are inching up may augur for asset-purchase tapering sooner rather than later.
  • The Bank of England, Swiss National Bank and Bank Indonesia are also expected to stand pat with policy decisions this week.
  • The Netherlands’ election takes place March 15 amid a growing diplomatic spat with Turkey.
  • Earnings reports are due this week from firms including Oracle Corp., Tiffany & Co., and Prudential Plc.
  • G-20 finance ministers gather in Germany for a series of meetings.

Here are the main market moves:

Stocks

  • The MSCI Asia Pacific Index advanced 0.6 percent as of 12:14 p.m. in Tokyo.
  • Japan’s Topix rose 0.2 percent, after the gauge jumped 1.2 percent on Friday to the highest level since December 2015.
  • The Hang Seng China Enterprises Index added 1.4 percent. China’s macroeconomy stabilized in the beginning of 2017, Ning Jizhe, head of the National Bureau of Statistics, said at the sidelines of the annual legislature meeting in Beijing on Sunday.
  • South Korea’s Kospi jumped 1.1 percent, led by a 1.7 percent gain in Samsung Electronics Co.
  • Australia’s S&P/ASX 200 Index fell 0.3 percent and New Zealand’s S&P/NZX 50 Index rose 0.4 percent.

Currencies

  • The Australian dollar advanced 0.4 percent, following Friday’s 0.5 percent gain.
  • The Bloomberg Dollar Spot Index fell less than 0.1 percent, after dropping 0.6 percent on Friday. The yen was little changed at 114.82 per dollar.
  • The euro added 0.3 percent to $1.070, extending its 0.9 percent surge on Friday.

Bonds

  • The yield on 10-year Australian government bonds slid three basis points to 2.95 percent, tracking a rally in Treasuries on Friday.
  • The yield on 10-year Treasuries climbed less than one basis point to 2.58 percent.
  • The Bank of Japan could consider adopting a range for its 10-year bond yield target when it eventually looks to increase rates or needs to manage market volatility, according to people with knowledge of discussions at the central bank.

Commodities

  • Oil dropped 0.9 percent to $48.08 a barrel. Crude has lost almost 10 percent over the past six days.

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 Rate Reaches ₦1,380 Today, May 3rd, 2024

US dollar to Nigerian Naira exchange rate as of May 3rd, 2024 at the black market stood at 1 USD to ₦1,380

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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 May 3rd, 2024 stood at 1 USD to ₦1,380.

Recent data from Bureau De Change (BDC) reveals that buyers in the Lagos Parallel Market purchased a dollar for ₦1,350 and sold it at ₦1,340 on Thursday, May 2nd, 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 black market

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

  • Buying Rate: ₦1,380
  • Selling Rate: ₦1,370

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.

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Naira

Dollar to Naira Black Market Today, May 2nd, 2024

As of May 2nd, 2024, the exchange rate for the US dollar to the Nigerian Naira stands at 1 USD to 1,350 NGN in the black market, also referred to as the parallel market or Aboki fx.

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on

New Naira Notes

As of May 2nd, 2024, the exchange rate for the US dollar to the Nigerian Naira stands at 1 USD to 1,350 NGN in the black market, also referred to as the parallel market or Aboki fx.

For those engaging in currency transactions in the Lagos Parallel Market (Black Market), buyers purchase a dollar for N1,310 and sell it at N1,300 on Monday, April 29th, 2024 based on information from Bureau De Change (BDC).

Meaning, the Naira exchange rate declined when compared to today’s rate below.

This black market rate signifies the value at which individuals can trade their dollars for Naira outside the official or regulated exchange channels.

Investors and participants closely monitor these parallel market rates for a more immediate reflection of currency dynamics.

How Much is Dollar to Naira Today in the Black Market?

Kindly be aware that the Central Bank of Nigeria (CBN) does not acknowledge the existence of the parallel market, commonly referred to as the black market.

The CBN has advised individuals seeking to participate in Forex transactions to utilize official banking channels.

Black Market Dollar to Naira Exchange Rate

  • Buying Rate: N1,350
  • Selling Rate: N1,340

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Forex

Yen’s Plunge Persists Despite Japan’s Late New York Trading Intervention

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yen

Japan’s attempts to shore up the yen faced yet another setback as the currency continued its downward spiral despite a late intervention in New York trading.

Despite efforts by Japanese authorities to stem the yen’s decline, traders remained unfazed, indicating a growing skepticism towards the efficacy of such measures.

The yen, which had initially weakened as much as 1.1% against the dollar during Asia trading, stubbornly clung to its downward trajectory, inching closer to levels seen before the suspected intervention.

Speculations ran rife among traders regarding Japan’s involvement in the currency market after witnessing abrupt fluctuations in the yen’s value during the final stretch of the US trading session.

This recent development underscores a deepening challenge for Japanese policymakers grappling with the yen’s persistent depreciation.

Despite their best efforts, the market sentiment appears to be increasingly immune to intervention tactics, casting doubts on the effectiveness of such measures in the long run.

Shoki Omori, chief desk strategist at Mizuho Securities Co., weighed in on the situation, remarking, “Japan’s finance ministry likely intervened but couldn’t break 152, where investors used to be cautious.”

He further noted, “Now that authorities are seen as having stepped in for a second time but gave the impression that they cannot stop the yen cheapening trend alone, market participants will likely feel more comfortable to short yen.”

The prevailing sentiment among traders suggests a growing consensus that Japan’s interventions may be insufficient to halt the yen’s depreciation trend.

Despite the authorities’ concerted efforts, the currency’s plunge persists, signaling a broader challenge for policymakers in navigating the complexities of the global currency market.

As the yen’s decline continues unabated, market participants remain on high alert, bracing for further volatility in the days ahead.

The inability of intervention measures to reverse the currency’s downward trajectory raises questions about the effectiveness of traditional policy tools in an increasingly interconnected and unpredictable financial landscape.

In the face of mounting challenges, Japanese authorities may find themselves compelled to explore alternative strategies to address the yen’s persistent weakness.

Whether through unconventional policy measures or coordinated efforts with global counterparts, finding a sustainable solution to stabilize the yen remains a pressing priority for policymakers amid evolving market dynamics.

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