CBN Injects $41 Million as Naira Stabilises, Oil Prices Spike Amid Geopolitical Tensions

The naira held steady at around ₦1,549 per dollar on Thursday, following the Central Bank of Nigeria’s (CBN) injection of $41 million into the official foreign exchange market.

The intervention aimed to boost liquidity after a surge in corporate demand for dollars earlier in the week.

The funds were sold to authorised dealers at rates ranging from ₦1,546.15 to ₦1,550 per dollar. However, compared to May’s total sales of $580 million, July’s interventions have so far been more moderate.

Despite the FX injection, Nigeria’s gross external reserves dipped below the $38 billion mark, reflecting continued capital outflows.

On the global commodities front, crude oil prices rallied nearly 3% as tensions escalated between Israel and Iran, fueling fears of a broader conflict in the Middle East. Brent crude rose by $2.15, or 2.8%, to settle at $78.85 per barrel, while U.S. West Texas Intermediate (WTI) gained $2.06, or 2.7%, to close at $77.20.

Investor concerns over possible U.S. involvement in the conflict contributed to the price surge. However, analysts suggest the spike may be short-lived unless tensions persist.

Meanwhile, gold prices remained relatively stable. Spot gold edged down 0.1% to $3,365.79, while U.S. gold futures declined 0.7% to $3,382.80, as the geopolitical uncertainty was offset by expectations of prolonged tight monetary policy from the U.S. Federal Reserve.