The price of Brent crude rose to $55.61 per barrel on Wednesday, up 26 cents from the previous day in what will be good news to oil dependent Nigeria.
The Nigerian government has repeatedly lamented the impact of the fall in global oil prices on its economy which is suffering from a recession. The current Muhammadu Buhari administration has pledged to diversify the economy with a focus on agriculture and solid minerals.
Nigeria was one of the oil producing OPEC members that agreed to a reduction in oil export to help bolster oil prices which have been low for over a year, going below $40 dollars a barrel. The country was, however, exempted from the slash due to not being able to meet its original quota caused by militancy in the oil producing Niger Delta region.
To ensure proper preparation for any fall in oil price, the Nigerian government projected an oil price of $42.5 per barrel in the 2017 budget.
On Wednesday, the U.S. dollar held near 14-year peaks as global yield spreads moved inexorably in its favour, while a falling yen lifted Japanese shares to a one-year top.
U.S. crude futures were up 32 cents at 53.62 dollars a barrel, while benchmark Brent crude futures added 26 cents to 55.61 dollars.
The Nikkei added 0.3 per cent in thin trade, while Australia’s main index climbed 0.6 per cent to its highest in 17 months after Wall Street racked up more records.
Japan’s government upgraded its overall assessment of the economy on Wednesday, echoing a more upbeat view from the Bank of Japan’s delivered the day before.
The dollar index, which measures it against a basket of currencies, stood at 103.100 having touched 103.65, its highest since December 2002.
The euro was a fraction firmer at 1.0413 dollars. On Wall Street, the Dow ended just 25 points shy of the magical 20,000 barrier helped by a 1.68 per cent gain in Goldman Sachs.
Stocks have been on a tear since the November 8 presidential election, with the Dow up nine per cent and the S&P 500 6 per cent on bets that President- elect Donald Trump’s plans for deregulation and infrastructure spending might boost profits and growth.
The Dow rose 0.46 per cent on Tuesday, while the S&P 500 gained 0.36 per cent and the Nasdaq0.49 per cent. Eight of the 11 major S&P sectors rose, led by a 1.23 per cent jump in the financial index.
After the bell, Nike rose 3 per cent on a strong quarterly report from the sports apparel seller.
European shares scaled 11-month highs on Tuesday as Italy’s banking index rose 2.3 per cent after the government decided to seek parliamentary approval to borrow 20 billion Euros to underwrite the stability of its banks.
Emerging markets have not been nearly as thrilled by Trump’s win, as the threat of tariffs has stirred fears of a trade war while rising U.S. yields have attracted funds away.
Benchmark 10-year U.S yields have climbed almost 80 basis points since early November to reach 2.57 per cent.
Data from the Institute for International Finance showed non-resident investors had pulled 23 billion dollars from emerging market portfolios since early October.
MSCI’s broadest index of Asia-Pacific shares outside Japan inched up 0.3 per cent on Wednesday, but that followed a string of losses.
Gold held at 1,133.80 dollars an ounce as a firm U.S. dollar kept it pinned near last week’s 10-1/2-month low of 1,122.35 dollars.


http://www.premiumtimesng.com/news/headlines/218588-good-news-nigeria-oil-price-rises-55-61.html

cc: mynd44
cc: lalasticlala

even with it, buhari still borrow money

This is the time to spend crude oil income judiciously. Should this crude index remains the same or more, i see no reason why we shouldn't come out of recession by second quarter of 2017.

even if it's $1000 a barrel dullhary won't still know what to do.

his cluelessness clearly reflects on his empty headed saints it took him 6+ months to find.

Nah... they will just squander it and blame Jonathan...have you seen the incompetence on display parading themselves as ministers?

Present administration won't still know what to do with it.

If it like rice sorry rise to $1000. per barrel it non of my business all i want is for naija to bounce back... WHAT IS ALL THIS??

And Nigeria Id not benefiting..



Dear Nairalanders thanks for your patronage so far. Please contact me on my signature for your Xmas goat.

What happened when it was over 100$??
Nigerian information network is wak!
You tagged this pop goodnews as if the people incharge care one bit about us.

God help Nigeria.

Nobody really cares about all this let food be available at fear prices for the common Nigerian

R

Bad news for Nigeria.

Rising oil prices will make us forget about diversification.....and go back to the bad old practices of overimportaiton and looting that got us here in the first place.

Besides.....we need oil above $100 anyways for any impact.

Dear Op... How is this a good news to a common Nigerian manwhen our representathieves and polithiefians are waiting for any slight opportunity to embezzle even if possible the next year budget allocation alongside the $29.9b

Good news for those who have oil wells.

BTW

We should sell this country, am 101% sure US Will buy because they bought Alaska from Russia, not sure of Hawaii.
Where will Nigerians go?
Fulanis and hausas can join Niger and Chad(them resemble) charter lorry, Igbos can charter antonov to Israel and chase those fake Jews away(you sure need combat training so you don't F.up like the biafran war), Yorubas unfortunately I have never read anything pertaining to your existence, US can pay extra and have you guys(I hope you guys don't back stab).

Even if crude oil price increase to $1000 per barrel, without a good economic team, we will still be in recession. An economic team that kept doing trial and error and constant changing of fiscal and monetary policies will not take us to the promise land.

cycline404:
What happened when it was over 100$??

absolutely nothing

Sacluxpaint:
Present administration won't still know what to do with it.

And what did the last govt did with it wen it was over $100 pls?

Good. No More Excuses

Since time immemorial, Nigeria has always be living in this kind if plan. If this one fail then we will win. That has always been our methilod even in football. If Brazil lose, we will now qualify

He be impeached in 2023, so you will be happy then

lirusehn:
No news is good until Buhari is impeached

OIL OIL OIL

HUNGER HUNGER HUNGER

BUHARI BUHARI BUHARI

SOON SOONER SOONEST

WE WEGO SEPARATE

Thank God

.

our hero will know peace now

Great news

it is good new for politicians, oil barons and cabal

Hiss

what's the good news in it, when our exchange rate isn't improving