Crude Price Falls As Naira Appreciates To ₦1,512/$ in Parallel Market

(AFRICAN EXAMINER) –  Crude oil prices continue to slip as the naira maintains its stability against the dollar in the foreign exchange market.

Oil prices fell about two per cent to a 12-week low this week amid reports that OPEC+ will proceed with a planned oil output increase in April.

Brent futures fell $1.19, or 1.6 per cent, to settle at $71.62 a barrel, while the United States West Texas Intermediate crude fell $1.39, or two per cent, to settle at $68.37.

Those were the lowest closes for Brent since December 6 and WTI since December 9.

It was reported that the Organisation of the Petroleum Exporting Countries and allies like Russia, known as OPEC+, decided to proceed with a planned April oil output increase.

The Naira appreciated N1,512 per dollar in the parallel market on Wednesday, compared to N1,515 per dollar on Tuesday.

However, the Naira depreciated to N1,505 per dollar in the Nigerian Foreign Exchange Market (NFEM).

Data published by the Central Bank of Nigeria, CBN, showed that the indicative exchange rate for the naira rose to N1,505 per dollar from N1,502 per dollar on Tuesday, indicating N3 depreciation for the naira.

Consequently, the margin between the parallel market and NFEM rate narrowed to N7 per dollar from N13 per dollar on Tuesday.

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