The naira appreciated from near a month low on speculation it will be supported as stronger oil prices outweighed an increase in petrol import orders.
The currency strengthened 0.3 per cent to 157.85 per dollar on the interbank market as of 5:48 p.m. in Lagos, yesterday, according to data compiled by Bloomberg.
The naira weakened 0.6 per cent Monday to the lowest closing level since Feb. 15.
Oil in New York rebounded from the lowest level in almost a week as investors bet fuel demand may increase amid signs the U.S. and Chinese economies were strengthening. Nigerian benchmark Bonny Light crude has jumped 16 per cent this year.
“We do not expect a sharp depreciation amid strong oil revenue inflows,” Barclays Plc-owned Absa Capital strategists, led by Ridle Markus in Johannesburg, wrote in a note to clients yesterday.