A day after the National Assembly passed the revised 2020 budget pegging crude oil benchmark at $28/barrel, crude oil price on the international market rose above $40. Prices marched higher on Wednesday, with Brent crude futures rising above $40 a barrel on expectations some of the world’s most powerful oil producers will reach a deal to extend supply cuts. In April, OPEC+ agreed to cut oil production by a record 9.7 million barrels per day (b/d), approximately 10% of global output. Under the current deal, the cuts will then be tapered back to 7.7 million b/d from July through to the end of 2020, and 5.8 million b/d from January 2021 through to April 2022. Brent crude futures traded at $40.33 a barrel on Wednesday, hitting its highest level since March 6 and up around 1.9% for the session.

Source: Nigerian Tribune June 03, 2020 09:45 UTC