Currency traders in Lagos became worried on Wednesday as the naira depreciated thrice in six hours at the parallel market.
The traders who were perturbed by the ugly trend; held meetings at different markets to analyse the rationale behind the sudden depreciation, after it had appreciated for about four weeks.
A dollar was exchanged for N467 as of 4:45 pm, after it traded for N455, and N460 in a couple of hours on Wednesday, while the pound sterling and Euro closed at N560 and N505, respectively.
The nation’s currency, after weeks of sustained appreciation, stabilized at N455 to a dollar prior to its depreciation by N12 on Wednesday.
At the Bureau De Change (BDC) window, the Nigerian currency sold at N385 to a dollar, CBN controlled rate, while the pound sterling and the euro closed at N553 and N500, respectively.
The official interbank market was not isolated from the depreciation fever as the naira lost N1.78 to close at N306.78, from N305 it posted previously.
Though traders at the market could not offer sufficient reason for the performance of the naira at the parallel market; they believe that the liquidity challenge would ease off by today after BDCs would have bought Forex from Travelex in Lagos.