Global oil benchmark, Brent crude, fell further on Monday amid talk of a possible release from global crude reserves, according to data from the International Monetary Fund showing a slowdown in global economic growth and the potential for United States waivers on Iran oil sanctions.

Brent, against which Nigeria’s oil is priced, dropped by $3.18 to $72.15 per barrel as of 8:30pm Nigerian time.

“The market is on the defensive because of the potential release of oil from global reserves,” said a senior market analyst at Price Futures Group, Phil Flynn, according to MarketWatch.

The President Donald Trump administration is considering a release from the US Strategic Petroleum Reserve, though a draw down from the stockpile of crude is not imminent, The Wall Street Journal reported on Friday, citing people familiar with the matter.

Read more:
Oil price tumbles to $72 per barrel http://www.sanwomi.com/2018/07/oil-price-tumbles-to-72-per-barrel.html