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BRENT CRUDE
Brent oil futures fell in an attempt to pull back some of its losses of about 8%.
Recent dip is as a result of fears that a second wave of COVID-19 pandemic will disrupt the market.
Investors' concerns strengthen over the pace at which the global economic recovery from COVID-19 overriding OPEC+ pledge to extend oil production cuts
Despite the output cuts from OPEC+ and curtailments in North America, crude oil prices may be short-lived as Brent crude could slip back
The naira was strengthened as the commodity-based currency's major earnings, crude oil, remained above the $40 dollar mark
The rally in crude oil price in recent weeks has been triggered by growing economic demand around the world and crude oil production cut by major oil producers since the deadly virus COVID-19.
Brent crude lost 1.14 %, to trade at $39.38 a barrel at 3.40 am Nigerian time, failing to stay over the $40 resistance price level.
Brent crude gained about 1.49%, at $40.18, 3.30 am Nigerian time – the highest level since March 6, having gained 3.3% on Tuesday.
OPEC+ agreed in April to reduce output by an unprecedented 9.7 million barrels per day in May and June after the deadly COVID-19 pandemic weakened demand.
It saw steep monthly gains due to falling global crude oil production and expectations for demand growth around the world.
Crude oil prices have been under pressure after Larry Kudlow, said the Chinese were making "a big mistake" with national security laws enacted in Hong Kong.
Note that crude oil prices are still down by 45% since the beginning of 2020, a situation that had forced oil-dependent Nigeria to revise/readjust her 2020 national budget, as Nairametrics reported.