FMDQ weekly report
Commentary on the foreign exchange (FX) market with data for the week-ended August 31, 2018.
▪The Central Bank of Nigeria (CBN) intervened through its periodic supply of United States (US) Dollars in the FX market, offering $100.00 million via a Single Secondary Market Intervention Sales (SMIS) – Wholesale auction held during the week-ended August 31, 2018.
The apex bank also maintained its intervention for Small and Medium-Scale Enterprises (SMEs) & Retail Invisible transactions supplying $55.00 million each for both interventions
▪In the Investors’ & Exporters’ (I&E) FX Window, the total value of trades recorded for the week- ended August 24, 2018 stood at $0.84 billion, representing a decrease of 40.85% ($0.58 billion) when compared to the $1.42 billion traded in the previous week, and bringing the total value traded at the Window year-to-date to $37.91 billion
▪For the reporting week-ended August 31, 2018, the CBN official rate rose by ₦0.05 to close at $/₦306.15, indicating a 0.02% depreciation when compared to $/₦306.10 recorded the previous week-ended August 24, 2018
▪In the Bureau de Change (BDC) market, still at the end of the reporting week, the exchange rate remained unchanged to close at $/₦360.00
▪Also for the week-ended August 24, 2018, the Naira depreciated at the I&E FX Window, losing ₦0.29 to close at $/₦362.64 when compared to $/₦362.35 recorded the previous week, resulting in a spread of $/₦2.64 between the BDC market rate and I&E FX Window rate
▪On the other hand, the spread between the BDC market rate and the CBN official exchange rate fell by ₦0.05 to close at $/₦53.85, indicating a 0.09% decrease from the $/₦53.90 recorded in the previous week
▪In the FX Futures market, $190.82 million worth of OTC FX Futures contracts were traded in eighteen (18) deals, compared to the total for the previous week-ended August 24, 2018 of $101.86 million traded in twenty (20) deals
▪Still in the FX Futures market,the 26th OTCFX Futures contract,NGUS AUG292018, with contract amount $349.44 million matured and settled on FMDQ on Wednesday, August 29, 2018.
The CBN introduced a new contract, NGUS AUG 21 2019 for $1.00 billion at $/₦364.40, to replace the matured contract and refreshed its quotes on the existing 1- to 11-month contracts
Dealing Member-Client Spot FX Market Turnover Report
▪For the week-ended August 24, 2018, trading activity in the Spot FX market between the DMBs and their clients stood at $1,010.69 million (average daily turnover of $336.89 million), representing an increase of 36.32% when compared to the $1,587.19 million (average daily turnover of $317.44 million), recorded the week-ended August 17, 2018
▪A review of trading activity in the Spot FX market amongst banks for the week-ended August 24, 2018 revealed a decrease of 33.03%, as a total turnover of $222.80 million (average daily turnover of $74.26 million) was recorded, against the $332.68 million (average daily turnover of $66.54 million) reported the week-ended August 17, 2018.
Get the latest news delivered straight to your inbox every day of the week. Stay informed with the Guardian’s leading coverage of Nigerian and world news, business, technology and sports.
0 Comments
We will review and take appropriate action.