MARKET UPDATE: Oil prices leap to over $76 per barrel

By Eyo Nsima

Many crude prices have risen this morning in the global oil market, due mainly to improved demand and favourable forecasts.

For instance, the price of Brent, usually used to benchmark others, rose to $76.18 per barrel, from over $75 per barrel, recorded the previous day.

Similarly, the prices of other crudes, including Murban and Bonny Light, also increased to $77.72 and $76.50 per barrel in the international market.

In its July Monthly Oil Market Report, MOMR, obtained by The Daily, www.thedaily-ng.com, the Organisation of Petroleum Exporting Countries, OPEC, painted a picture of improved demand following the expected economic growth around the world.

It stated: “While economic activities have been steady so far in the 1H22, the global economy continues to navigate through uncertainties including high inflation, higher interest rates in the US and the Euro-zone, and high debt levels in many regions. The US economic growth forecast for 2023 is revised up by 0.1% to stand at 1.3%, following a growth of 2.1% for 2022. The Eurozone’s economic growth forecast for 2023 remains at 0.8%, following a growth of 3.5% for 2022. Japan’s economic growth forecast remains at 1.0% for both 2022 and 2023.

“China’s economic growth forecast remains at 5.2% for 2023, following a growth of 3.0% for 2022. India’s 2022 economic growth estimate is unchanged at 6.7%, and the forecast for 2023 remains at 5.6%. Brazil’s economic growth estimates for 2022 and 2023 are unchanged at 2.9% and 1.0%, respectively. Russia’s growth is also unchanged, with an estimated contraction of 2.1% for 2022 and a forecast contraction of 0.5% for 2023.”