Tag
OIL
Current realities have shown that overdependence on oil might affect Nigeria's economy in the long run given its boom-burst nature.
The war is the major factor as to why we are seeing multi-year highs and high volatility in the cryptocurrency market as well as the commodity market.
Oil & Natural Gas prices are bound to rise as the energy markets are sensitive to geopolitics, and given the inflationary environment, commodities might have found extra support.
Brent crude oil is down 1.61%, currently trading at $74.34.
West Texas Intermediate (WTI), crude futures plunged by over 3% to trade below $60 a barrel.
Oil traders are arbitrarily going short, on signs of more COVID-19 lockdowns in Europe.
U.S based oil contract, West Texas Intermediate futures plunged by 6.4%, and Brent crude futures dropped by 6.8%.
Brent crude is on track to post weekly gains for the eighth week after touching a 13-month high at the first trading session of the week.
The performance of the market today was largely driven by price appreciation in Nigerian Oil stocks.
Brent crude futures were up by more than 2%, trading at $70.84 a barrel in early Asian trade, the highest since Jan. 8, 2020
Nigeria’s overdependence on Oil has brought about high dollarization in Africa’s biggest economy.
The British-based oil contract, Brent crude surged by 0.46%, to trade at $62.99 a barrel, up from four days of losses.